HappySqurriel said:
Ail said:
HappySqurriel said:
Ail said:
HappySqurriel said:
Ail said:
What I really don't understand is the whole republican logic around the fact that raising taxes for people that makes over 250k a year will slow job growth.
I mean it's easy. Who in this country makes over 250k a year ? The list isn't that long.
- Lawyers, traders, executives, doctors, salesmen( some not all by far), actors, professional athletes...
Most small business owners do not even make that least .
And last I checked very few of the people in that list are actually engaged in creating new business, they already have a well-paid job and are pretty happy with it......( executives affect job creation but based on the company finances, not their own pay or tax level).
So explain to me how the way those are taxed affect job creation?
In a logical way please...
PS : I'm going to come close to that 250k limit this year due to exercising a lot of stock options and I can tell you for sure I am not planning to create any job....
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There are a few reasons ...
First off, you have capital flight. If you're paying a punitive tax rate in one jurisdiction and you can pay a lower tax rate in another jurisdiction odds are pretty good that you will move to the lower tax jurisdiction if you can. While you may not have been directly involved in creating jobs, the loss of your spending and investment in a region can dramatically lower job creation.
Secondly, most high income earners have significant control over their own earnings and the earnings of others. If you increase the tax rate on executives or even small business owners odds are pretty good that they will give themselves significant raises and make cut-backs elsewhere or increase costs on their services to compensate.
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Seeing how US citizens are taxed based on their worldwide income I have trouble seeing in which juridiction they would be running too........( Mars ? Jupiter ?)
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You do realize that people can move to other countries, right?
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They can but are you aware that all US citizens are taxed based on their worldwide revenues ?
If you move to Russia as a US citizen you will still pay the difference between russia's taxes and US taxes to the US government if US taxes are higher. ( so basically if you move to a country with lower taxes your taxes will actually not be lowered..)
The only way to escape the US federal taxes is to give up your citizenship..........
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... and your point is?
Americans are mostly descendants of individuals who decided to give up their citizenship to provide a better life for themselves and their children. Why wouldn’t someone who is facing punitive taxation to pay for the debt built up from buying other people’s votes decide to give up their citizenship to provide a better life for themselves and their children by moving to another country?
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Before giving up your citizenship you have to acquire another one which is a lenghty process.( and have fun when you want to visit relatives in the US and have to be treated the way every foreigner visiting the US is)
Secondly US is the western country with the lowest tax rate so if you wanted to leave the US you would have to go to a non western modern country.
And most rich US citizens would balks at the notion of having to become a Jamaican or an Angolan citizen just to lower their taxes ( and whatever they would win in taxes they would loose in higher prices on most everything else, when the item they want to purchase is actually available....).
+ pretty much any job they are doing in the US would pay less in other countries, most people would rather pay 30% taxes on 250k income than 20% on 100k.......
So in practice this is not an available move to US citizens ( but is actually something done a lot more commonly in Europe due to ppls being taxed on soil income and not worldwide).
Oh and bye bye medicare and social security if you drop your citizenship and leave the country. And the fun part is that if you move to a country like France you will be screwed out french retirement too ( because it's based on having worked your whole life in France, not part of it). It's the same for a lot of Western countries by the way...
The government could double income taxes on rich, it still woudn't be worth it financially for them to leave...
Oh and here is the quicker : If you renounce your US citizenship, you still have to pay taxes to the US government for the next 10 years. LOL
PS : I made the move the other way ( from Europe to the US) I have a pretty fair knowledge of what I am talking....
