Quote:
Originally Posted by Big Thumper
There's actually a very good chance that we'd be better off economically if corporations paid no tax at all. This would make them more profitable , stronger and in a better position to hire. Of course these profits would still end up being taxed when the money is paid out to the employees in the form of wages or taxed when the owners take money out of the company in the form of dividends.
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Not really. In fact, it's the opposite.
First off, as demonstrated by the recent actions south of the border, corporations directed money towards buying back shares, rather than to increasing workers wages.
Second, corporations take money out of the local economy (profit going to shareholders who are not local).
Third, and to bring this back to increases in minimum wage, each dollar spent locally generates a multiplier effect where that dollar circulates generating local benefits.
Personally, i'd rather my community benefited from the education, infrastructure, health care, resources, etc. that attracted people who wanted to leverage those things for their own profit.