The Trump Nation and Taxes

"Tax reform" is in the news. The GOP has promised to do that. Golly gee, wonder where that is going? With the GOP now solidly in charge all around, any halfway sentient person already knows, except for Trump supporters of course.

Almost no one likes paying taxes, although you might think by all rights they should. For most people, and corporations too for that matter, the more income or profits you have, the higher the tax rate is and should be. So, all in all, the more you make, the more you would keep, even after a higher tax rate - and the happier you ought to be, right?

But, that's not how it works in reality. The more money people - or corporations - make, the more inclined they seem to be to use tax avoidance scenarios. 

For individuals, unless they are in that top 5% category, the kinds who use tax shelters and offshore banks, there is a limit to how much taxation you can avoid without going to jail. Small businesses are generally in the same category. But, for big corporations it is an entirely different story,  These guys operate under an entirely different set of actions. Same rules, yes, but most assuredly a more imaginative, and sometimes even borderline (and over!) criminal way of utilizing them.

Not all big corporations do so, lest I be accused of being anti-capitalist. (Actually, I do sometimes flirt with being anti-capitalist, be that's a subject for another story). Some big companies do stand right up to pay their fair share, honestly and completely with no cute cheating. But a majority of the bigger companies DO NOT. And, the bigger and more multi-national they are, the more likely they are to be creative in avoiding taxes.

Here's a chart with the trajectory of US corporate tax rates over the years. The takeaway is, starting from a high of 58.8% in the late 'sixties (during the Richard Nixon administration!), there has been a more or less steady decline ever since to 35% beginning in 1993, and where it now stands today. Historically, you must go back to BEFORE WWII to find a lower rate!

Corporations, and their hand-maidens in Congress like to point to this chart showing, among other things how the US is among the highest corporate taxing nations in the world.  And, I'd like to point out right here that both major political parties have their hands in this evil pudding. It's not just a GOP thing, although now with Mr. Trump in office - and bloviating about his 'tax reform' plan the GOP is determined to reduce the official rate even more!

Ah, but there's also a multi-trillion dollar catch. The chart above is merely the official, US Department of Revenue rate. This chart accompanied always by all the GOP venting over 'high taxes' is a prime example of what I call a 'Graphics Lie". The rate actually PAID by corporations - called the 'Effective Rate' - is altogether different, and is but a very pale shadow of the official rate. The Effective Rate for corporations for recent tax years in the US is an aggregate 12 percent or so. In 2011 - the latest year I can find - the Effective Rate was 12.2% - the lowest since World War One! The current international average is over 16 percent.

The tax rate for an individual in the US is 15% for income between $9276 and $37650 for crissakes! For a 'head of household it's 15% for income between $13251 and 50,400! Something smells very rotten in Denmark if you ask me!

Here's a chart over the period since WWII, with the actual Effective Rate., i.e., "Reality":

Overall, corporations today pay just 9% of US Federal Revenue, down from over 30% in the 'fifties!

Below is just one example from down under. There are hundreds more for anyone interested in finding out more. I, myself am just simply too disgusted - and mostly naive too I know, to root them out. Taxation is a tedious, dry and dusty subject after all, truly loved only by the devious, the OCD and the anally-retentive I'm guessing:

Rupert Murdock's News Corp has one cute little trick it employs to avoid paying taxes in Australia (I'm sure they are creative in avoiding taxes everywhere else too):  The gist of it is they loan money to themselves from a foreign subsidiary at an exorbitant interest rate (at twice the industry average), then deduct the interest. The truth is, they loan money to themselves at high interest, deduct the interest as an 'expense', and meanwhile pay the 'interest' to themselves on the other end. I'm sure the 'subsidiary' does the exact same thing in reverse too, to avoid taxes on their end. It's a win-win-win-win as far as you like for Murdock and the News Corp.

Multi-nationals spend big bucks employing tax lawyers to find loopholes to avoid taxation. The thing to remember, however, the loopholes would not be there in the first place without the legislation.

And, here is where the story becomes truly appalling. Now that corporations are defined as 'people' in the US, and there is no limit to their political contributions (read, 'bribes to legislators'), it is party time in corporate boardrooms. Corporations are now in the position to buy any legislative favors their itty-bitty little hearts desire - and they are doing so with wild abandon. Thus, now corporations are completely free to vote with their money, and all their shareholders are too. This is what amounts to de facto double-voting in the interests of corporations. Am I right?

So, if corporations are 'people', why aren't they paying taxes like people you ask?

Here's a chart which will put that in perspective for you. This chart shows what percentage of US taxes corporations pay, and what individual income tax payers pay. FAIR WARNING! This one just might blow your mind:

It's pretty damned obvious that corporations have turned out to be pretty damned special as people isn't it? And, that is the nut, kernal, and gist of this story.

There's a long list of big corporations who paid no taxes at all, with some getting billions back in tax 'subsidies'. Here are just a few out of the hundreds:

Try to keep these things in mind the next time you spend your hard-won dollars. Also remember, that corporations are heavily into propagandizing these days. They are free to spend as much as they like - those expenses are tax deductions for corporations after all - to influence public opinion in their favor, while the individual may not. No tax deductions for you or me for such silly things!

The sad fact is that the US is now a true oligarchy in all but name. And if Herr Trump has his way, our nation just could get officially renamed as "The Trump Nation of and for Trump and Other Companies".  Then, maybe Trump will feel himself on an equal footing with Putin/Russia Inc.

But, I doubt it. Donald J. Trump is an unsatisfiable megalomaniac. Too much is never enough for that man!

OK Right Wingers - you OWN this guy!

Attention, Trump supporters and Alt-Right ideologues! 

You are fully responsible for the consequences of what you hoped for and have now helped bring to pass.

Due to your blindness, your ignorance, and your failure to uncover, or refusal to believe actual facts when shown the truth about this colossal con, our country as a nation is now saddled with a 'President', in name at least, whether the rest of us like it or not. It's 100% your doing and he's your guy, lock, stock and in all his unbelievably bloviating and revolting ridiculousness.

Why you can not recognize this is a mystery to me. Perhaps it was the relentless propaganda and the mega-millions of dollars spent by America's oligarchy to protect and promote their agenda. Whatever the reason, you bought into this cynical manipulator's shtick from day one and never once pulled back the wrapper to uncover the rottenness simmering and foaming underneath. Even when proved over and over to you, you have refused to believe facts, and somehow justified Donald Trump's lies and nonsense to yourselves. It truly baffles me. Presidential elections have no warranty and bad apples have to be endured unless they die, or are impeached. That said, any way we could rid ourselves of this person would be fine with me.

Elections do have consequences as will soon be all too evident to all, including to you. Never in the history of our country has such an internationally recognized fraud actually been elected to this high office, and he's YOUR GUY! YOUR VERY OWN GUY!

You and the Republican Party OWN this fraud! And, since he and the Republican Party now control both houses of Congress and the presidency, and will soon own the Supreme Court too, there can be no excuses. 

It's 100% your deal now and you own it! That makes YOU responsible.

You own this odious deal 100%, along with the other results of the November 2016 election, and the saner members of our society are going to make sure you, individually and as a group, are held fully responsible for the damage this person will do to our beloved nation and our people. We will neither forget, nor let you get away with it. You can count on that. Yes, you may well end up - sooner than later in fact - with 'buyer's remorse', and rue the day you ever supported Trump, but that will never excuse your part in creating this calamity. You will very likely try to disown your support for him too as so many of you did with Bush II.

But, the fact will always remain, he's YOUR BOY! 

He's ALL yours, along with all of his 'alternative facts'!

100%!

I did not think this could ever actually happen, and hoped until the last possible moment it would not. But, the United States now has a pussy-grabbing (whether its owner likes it or not) sex abusing, narcissistic, neofascist, racist, white supremacist, military disrespecting, draft dodging, tax evading, pathologically megalomaniacal, climate change denying, Russian loving, vendor stiffing, lying, treacherous, vindictive, fear-mongering, American job outsourcing, serial adulterer as its new president. I could go on and on, but there's a limit to how much time I am willing to put into listing all the faults and crimes this odious person represents. He is by orders of magnitude, the most disgusting, unsuitable and disastrous individual to ever rise to such a position in our country.

And he belongs to YOU. And, ONLY to you! The rest of us want no part of him. Ever.

Remember that. The rest of us will not forget . . that he belongs ONLY TO YOU!

Hopefully, any remaining sanely responsible Republican leaders have a fallback plan devised amongst themselves to shortstop damages Trump might attempt to inflict on the country through his ineptitude, ignorance and tantrums.  I very hopefully believe they do. But if they do not or can not put our country's interests over 'party loyalty', the saner ones too will show themselves to be totally irresponsible and share fully in whatever blame coming as a result of this totally unsuitable man's election. He is ALL yours after all, in name, and the GOP as a brand now owns him.

One hope and a very good thing is that it will take only a handful of responsible Republicans to cooperate with Democrats to block Trump's country-damaging insanity. I believe this is what we shall see. I surely do hope so. But whatever it is, it will not be pretty and it will be one wild ride for everyone.

I am so ashamed of all of you who helped elect this monster for your own sake and especially on my country's behalf.

Buckle your seat belts Americans, our ride is only starting!