IRS budget cuts cost $34.3B in lost revenue from big business

Post by rando444 » Tue, Aug 20, 2019, 6:51 PM UTC

MuffinFlavored wrote: post #83

metamet wrote: post #78

Earlier quoted context omitted.

Elizabeth Warren has set this up as the core paradigm in her campaign. She posits that greed and corruption have overtaken the American government's purpose, especially in the last 25 years. Money, through lobbying and other forms of influence, now dictates who the government works for. It works for large corporations, pharmaceuticals and the oil industry (for example) rather than America's citizens and workers--spec…

I read her plan to tax businesses with $100m in profit is easily sidestepped by spinning off child-subsidiaries of your businesses right around that $100m mark and report back "womp womp, no over $100m profits here".

Post by ska » Tue, Aug 20, 2019, 6:53 PM UTC

nostromo wrote: post #35

kurthr wrote: post #33

Earlier quoted context omitted.

Yeah, the people "getting away with it" in this case aren't those paying withholding or even mostly individuals... they're corporations bilking the government and every other taxpayer. It's more like cutting back on the FBI when there's an outbreak of organized crime...

The problem is Congress, not the IRS. Most corporations pay the amount of tax they owe under the law, but the law is written to allow tax evasion. The IRS can’t do anything about this. The fix is to close several well known loopholes.

Post by kortilla » Tue, Aug 20, 2019, 6:53 PM UTC

rando444 wrote: post #101

MuffinFlavored wrote: post #83

Earlier quoted context omitted.

I read her plan to tax businesses with $100m in profit is easily sidestepped by spinning off child-subsidiaries of your businesses right around that $100m mark and report back "womp womp, no over $100m profits here".

If businesses started creating child companies (for any reason) it would result in substantial job creation.. so this sounds like a win-win to me.

Post by Spellman » Tue, Aug 20, 2019, 6:54 PM UTC

pmoriarty wrote: post #25

And yet some people manage to whip themselves in to a righteous frenzy over someone collecting welfare or immigrants getting a microscopic bit of state aid. Such people really need to get a sense of proportion. The destitute, despised, downtrodden guy who slaves away to support their family by mowing your lawn, picking apples for you, driving you somewhere, or serving you your burger is not your enemy.

Post by wuliwong » Tue, Aug 20, 2019, 6:54 PM UTC

Spellman wrote: post #16

devoply wrote: post #6

> IRS is auditing fewer tax returns from corporations because it has fewer people and resources available to identify potential errors and follow up on questionable tax returns On one hand I do want businesses to pay their fair share. On the other hand I don't want to encourage massive tax agencies which must justify their numbers by auditing and harassing as many people as possible. Often small businesses that don't…

Generally they don't harass people unless something seems amiss and there is a large enough discrepancy to justify it. And there's eventually a marginal tipping point where more money spent in audits won't net more recovered revenue. Generally the smaller the fry, the less you can recover from them.