out of the box thought on taxes

So you think raising all revenue from a land value tax would make our businesses most globally competitive?

Wrong. Land value tax is the most disreputable taxation system, and it ONLY taxes native_side production. Compare it, for example, with the sales tax. When two widgets, an American and Chinese one are sold in the US, what does a land tax do to them? Increases cost of production for the US product with built in taxes, giving a competitive edge to the Chinese product. An the sales tax? Taxes both equally, but gives American companies an edge when exporting to countries using a land tax.

 

You are not smart enough to be correcting me. Land value taxation does not effect the cost of production, period. The revenue the land value tax collects would have been collected by a parasitic landowner anyway, so the tax does not add to production costs.

“Pure land rent is in the nature of a 'surplus' which can be taxed heavily without distorting production incentives or efficiency.” —Paul Samuelson, Nobel laureate in Economics (1970)

Sales taxes get spread through the chain of economic activity, raising the cost of everything. These costs have to be passed on, and make our production less competitive on the world market. The problem is not with the land value tax, the problem is that you cannot wrap your head around the idea that the land value tax cannot increase the cost of production.

Tell me, if the government simply collects what the parasitic (nonproductive) landowner would have collected anyway, and all other taxes are abolished, how in the world could the land value tax possibly increase the cost of production? Sales taxes increase the prices of everything, that makes our production less competitive.

 

Right.

As you know, that is false. Land cannot be hidden, and it cannot be moved. It is impossible for the landowner to avoid land value taxation. That is the only reason we do not have land value taxation, which is incomparably superior to other tax systems in every way.

 

No tax would make US companies globally competitive.

 

A socialist tax system. Just look at the environmental paradise the sociaslists created in the Warsaw Pact countries.

 

Garbage. Shielding domestic companies from global competition with tariffs will make them UNcompetitive.

If they would rather be more efficient than more profitable. Which they won't.

Thus forcing them to become even more competitive.

 

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Local property taxes are in fact the most economically benign taxes we have, as most property value is land value.

 

Sales taxes are paid by the consumer ONLY IN THE JURISDICTION charging the tax. Ergo, sales taxes are not an impediment to global competitiveness, since every item sold is subject to the same tax, and the more competitive companies can retail their products at a lower unit price, and thus with a lower sales tax burden, and thus a nation's sales tax makes the lowest priced import even more competitive than similar imported products.

A corporate tax is a burden the company recoups from ALL it's customers by adding that tax into the wholesale price of the product....which means that a nation with the highest corporate taxes is automatically placing it's exports at a competitive disadvantage with exports from other countries.

A company could reduce the price of it's exported products by transferring that tax burden to the domestic customers, thereby making it's domestic sales less competitive with imports that don't pay such excessive taxes in their home countries.

Guess which country has the highest corporate tax rate in the whole world?

Right. Obama's fascist America.

 

No, geofree is objectively correct, and this is a fact of economics that has been known for 200 years.

No, that is a fabrication on your part. All honest, informed, and intelligent people favor land value taxation above all other forms of taxation.

That is another fabrication. Land value taxation does not tax production at all, because it is exactly the same whether there is any production on the land or not. It has been known for 200 years, and is not seriously disputed by any competent economist, that, uniquely among taxes, a land value tax imposes no burden on production.

LVT wins, as it is incomparably superior in every way.

It elimiinates the burden of taxation on the American producer.

LVT does not and cannot increase the cost of production, because all publicly created land rent not recovered by taxation is taken by the landowner.

False, as proved above.

Nope. Flat wrong. The land tax country is far more competitive than the sales tax country, because none of its tax burden can ever be shifted onto production.

 

Like that economic powerhouse, Somalia....

 

Don't be silly, when RINO President GW Bush put a tariff "to protect domestic steel production", what happened?

Domestic steel makers ...RAISED THEIR PRICES...causing inflation in the steel market that...guess who...paid for all across the economy. That's right. Everyone wanting to buy a motor with steel armatures paid more, as did any that wanted steel in their cars, refrigerators, bedsprings, nails, screws, bolts, door knobs and lock, etc.

Wonderful things, those magic tariffs.

Yeah, restricting the markets really stopped GM from collapsing like the new black hole core of a supernova, didn't it?

 

All you need to now is stop pretending the United States is like Somalia. King Obama wants it to be. Every single one of the idiots that voted for King Obama, Fascist and Traitor, want it to be, but it isn't.

How about if you list the differences that make the US not Somalia, okay? Show off how much you know.

 

NOT a VAT.

VATs exist solely so legislatures can jack up taxes invisibly. Europe VATted itself into economic stagnation.

Let's put it this way: DemocRATs want the US to have a VAT. No other point is needed to understand that VATs must clearly be bad for any industrialized country than the knowledge that treasonous RATS want it.

 

So you're saying that nations TAX themselves into prosperity.

How RAT of you to say this It's not true, of course, and there's clearly more significant differences between the US and Somalia that you should consider.

Somalia's Marxists used their control of the government to create nationwide mass famine to eliminate political enemies.

King Obama and your RATS haven't got to that point yet.

Somalia is a former anarchic failed nation following the next phase of all anarchic states, the rule of warlords.

King Obama and the RATS want the United States to skip the anarchy part and go right to rule by warlords, but again, you people haven't succeeded. Yet.

Somalia has no government, and thus no property laws.

The United States has property laws and a tradition of individual liberty that you people haven't succeeded in smothering. Yet.

It's the fact that the United States has strong property ownership laws that enabled it to become the world's only economic super-power.

It's the fact that you people are destroying private property ownership with massive taxes and massive deficit spending that is reducing the United States to a turd-world failed nation like Somalia.

Explain WHO pays those corporate taxes you people demand be imposed to halt US global competitiveness.

 

WHO is promoting that bit of fascist intrusion?

The DemocRATS, naturally.

What should be the federal policy on state sales taxes on internet purchases? That the purchaser pay the sales tax in the state where the sale is finalized...which is the state in which the money is received, of course, at the option of the taxing authority in the state, of course.

Jeez, the least you could do is figure out something as simple as internet interstate sales tax domains.

No. When the Mayor was running a retail business last decade, the tax forms were straight forward. The end user paid the sales tax. If the Mayor bought gasoline to make a delivery, that's his tax to pay....which, of course, was figured into the cost of the wedding cake and, needless to say, a fifty dollar delivery fee more than made up for the tax on two-dollar a gallon gas (pre-Messiah, this business was). Delivery was a profit center, and similarly ALL business expenses, including those related to sales taxes, were passed on to the customer in the price of the product AND the customer paid his sales tax on that final price.

The customer pays ALL the taxes, always.

Take an accounting course and figure out how businesses compute their profits.

Uh...that's what you people say when you're pulling on your ass for a response and nothing comes out.

Who do you FEEL pays the taxes you want to burden companies with?

How would a Marxist know?

You mean when the goonions were robbing GM and Ford blind, and thereby forcing the prices of domestic (*)(*)(*)(*) vehicles past the point of bankruptcy?

And how many TV's are made in the US? The Mayor has nice Sony LED TV's here, and Sony monitors, too.

No (*)(*)(*)(*). Socialists are so devout, it's be cute if their ignorance wasn't so expensive to others. You ever get the feeling that it would be nice if you learned something about the real world and strayed away from Karl's Pulpit?

Yawn. Your ignorance is quickly losing it's non-existent amusing aspects...that, and the battery is running low on my Japanese notebook.

Fascism is characterized by King Obama APPOINTING the CEO of GM.

 

NONE!!

 

So do you understand that your brilliant theory predicts a huge US trade surplus with China.......

 

When did the US restrict it's markets to protect GM?

 

hahahaha, someone's got their head in their a**

Sorry you don't understand 'cost of production.' Anything that adds to the cost of producing an item is increasing the 'cost of production.' What part of 'every manufactory is built on land' can you not wrap your head around? Why is it that you and Roy can't, like all other rationale people, simply recognize the pluses and minuses of any given tax, but are so blinded that you think there is one without minuses and with more pluses than there really is?

Because the land value tax would only be assessed to Americans and American products. It's not too hard, geo. Through a land tax we would still have to collect roughly 22% of gdp. Whether coming from businesses or their employee's wages, it's ALL coming from Americans. 22%. But, since more than a third of items in America are imported, roughly a third of our sales taxes would be gained through imports, which would REMOVE an inherent edge on foreign products.


Yes yes, we all know you and Roy like land taxes. This thread was asked specifically which would be best for global competition, which land value taxation would not be, but you've got your heads so far up your a**es you'll say it's the best for anything.

 

You know what was meant. What tax would binder US competitiveness the least.

 

flat one

 

You really are stubborn at denying something that is very easy to understand if you're willing to.

Jim runs a little retail store. He writes a monthly check of $3,000 to the landlord of the little strip mall. $1,200 pays for his compartment of the building. $1,800 pays for his share of the land it occupies.

With the land value tax the $1,800 he pays to the landlord for the land would now, instead of being a freebie to the landlord, be used as revenue by the government to pay for infrastructure and services.

He pays it either way and with the land value tax other taxes can be cut. You remove the parasite and the only way to go for the cost of production is down.

 

w/o getting rid of all private property, what would happen in the above scenario? Jim pays $3,000, $1,800 for the land and $1,200 for the improvements. Tax $1,800, and what is Jim now paying? $3,000? No. $4,800. Jim's operating costs just skyrocketed.

 

No, that wouldn't happen. What would happen is that the landlord would still collect $3,000 but the landlord only gets to keep the $1,200 he actually earned. The landlord cannot charge more than market value for the land or his tenants will pack their bags and leave and he'll be left with nothing. And he's already charging market value. He just won't get to keep it anymore.

 

They aren't whisking all profits to tax havens, they are keeping international profits out of the country. Why? The U.S. taxes international profits higher than most other countries.

When tax rates are radically reduced, we usually have a gain in taxation. Why? When it gets cheaper to pay taxes than to hide the money, corporations will pay taxes.