Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

Global minimum corporate tax: 130 nations to support U.S. proposal

cnbc.com

Post reply on HN
Print view View original

131–140 of 362 posts

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#131

Post by notsureaboutpg »

maverick-iceman wrote: post #124

Will this include rebate schemes? Also Africa and countries with low enforcement (either willing low enforcement or caused by scarce public sector resources) will have capital flowing in. Once the law is there the next race to the bottom will happen on odds of enforcement of such law. Russia, Ukraine, Georgia, Uruguay, Belize, Panama, UAE, Liberia , the Caribbean. The usual suspects will continue to dominate the tran…

What corporation wants to do all the paperwork to spend all the money to establish all the shells to reside in a country where they technically legally owe the same tax but the government is just lax in collecting it?

The government can change its mind any time and start enforcing and you will owe tax and have no way out of it. Moving again won't erase history if they claim back taxes.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#132

Post by handrous »

chalcolithic wrote: post #120
Mordisquitos wrote: post #81

Earlier quoted context omitted.

Yes, I agree. I myself have always wondered about the opposite strategy: literally zero corporation tax, compensated by an overarching income-agnostic personal income tax which would go up to stupidly high percents in the stupidly high income brackets, say for the sake of the argument 80% above 1 million €/$/£, 90% above 10 million, 95% above 100 million etc. I don't necessarily mean these specific values, but you ge…

Don't own, rent everything. How will you handle that?

How's that relevant? I'm not weighing in on the broader wisdom of the parent post, but I don't see how that affects anything.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#133

Post by robertlagrant »

ris wrote: post #112
motohagiography wrote: post #51

Earlier quoted context omitted.

I thought their whole schtick was "one world government," which is precisely what colluding to destroy tax competition is, as is banning capital flight which results from abusive policy.

> tax competition It is not tax competition. It's tax fleecing. The issue is that companies are paying the rates of low-tax countries while operating by and large in "high"-tax countries and reaping all the benefits from their expensive infrastructure, law enforcement, healthcare, education, welfare (to top up absurdly low employee wages)... all of which gets paid for by "someone else" (you and me). It might be tax c…

It is tax competition. It's just not also labour/university/transport etc competition all lumped into one huge unwieldy choice.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#134

Post by patrickaljord »

DevX101 wrote: post #109

Did a quick cross ref for the non-signatories ranked by GDP: https://pastebin.com/YyYTV65i I'd predict corporations to move to countries on this list that are non-sanctioned, high rule of law index, and easy to do business in. Ireland and Estonia in particular come to mind.

Do you have a link to the list of signatories?

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#135

Post by robertlagrant »

axlee wrote: post #61
motohagiography wrote: post #51

Earlier quoted context omitted.

I thought their whole schtick was "one world government," which is precisely what colluding to destroy tax competition is, as is banning capital flight which results from abusive policy.

colluding: to act together secretly or illegally in order to deceive or cheat someone. And please: capital flight being the results of abusive policy? Corporations and wealthy individuals will always try to avoid giving the fair share to the society that enabled their wealth in the first place: the case where wealth moves because of abusive policies is so marginal in the ocean of pure greed. Some countries are fiscal…

The fair share is defined by tax law. It's not some additional amount.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#136

Post by magila »

lordnacho wrote: post #113
Mordisquitos wrote: post #81

Earlier quoted context omitted.

Yes, I agree. I myself have always wondered about the opposite strategy: literally zero corporation tax, compensated by an overarching income-agnostic personal income tax which would go up to stupidly high percents in the stupidly high income brackets, say for the sake of the argument 80% above 1 million €/$/£, 90% above 10 million, 95% above 100 million etc. I don't necessarily mean these specific values, but you ge…

If we did that, rich people would keep a corp as a piggy bank and only pay taxes on whatever they took out. Most of the money would stay in the corp and be use on various investments. To a degree this is already what people do (eg contractors), except they have to pay some corp tax each year on what they made.

How is that any different from having money invested in stocks/real estate/etc today? Unrealized capital gains aren't taxed regardless of whether the asset is held by a corp or individual. In any case it's when the person realizes the gains that a taxable event is triggered.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#137

Post by GoodJokes »

motohagiography wrote: post #36

The idea that politicians and bureaucracies can defer to external international conventions to be the bad-cop for wildly unpopular policy decisions - and then claim to be powerless to stop them - is anathema to democratic principles like national representation, consent of the governed, and other concepts of human rights. This proposal seems like a global group of government affiliated people colluding to fleece each…

This is so disconnected from reality that I fear you commented on the wrong article.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#138

Post by tick_tock_tick »

lordnacho wrote: post #113
Mordisquitos wrote: post #81

Earlier quoted context omitted.

Yes, I agree. I myself have always wondered about the opposite strategy: literally zero corporation tax, compensated by an overarching income-agnostic personal income tax which would go up to stupidly high percents in the stupidly high income brackets, say for the sake of the argument 80% above 1 million €/$/£, 90% above 10 million, 95% above 100 million etc. I don't necessarily mean these specific values, but you ge…

If we did that, rich people would keep a corp as a piggy bank and only pay taxes on whatever they took out. Most of the money would stay in the corp and be use on various investments. To a degree this is already what people do (eg contractors), except they have to pay some corp tax each year on what they made.

It's much easier to force a corp to pay dividends or do a share buyback than it is to chase them around the world with some horrible tax policy. A 0% corporate tax with law to prevent excessive hoarding of cash in the corporation is the only sane solution.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#139

Post by asteroidbelt »

coryrc wrote: post #90
cinntaile wrote: post #43

Earlier quoted context omitted.

While it may be a cowardly way to divert responsibility I don't agree that this is so bad. This problem can only be solved by cooperating, otherwise companies can just shop around for the cheapest taxation rate.

Gee, it's almost like taxing corporate profits twice has caused massive distortions everywhere: biggest stock price bubble, tax residency shopping, etc Tax the wealthy. Don't let them take "charitable" deductions or use tax-exempt IRAs. 100% inheritance tax above $4 million.

> Tax the wealthy.

Please don't tax the wealthy. I have a couple friends who are in top 0.1%. They have enough money for the rest of their lives. If you start taking money from them, they will simply stop working and start spending more time with friends and family.

The correct goal is not to take money from the rich (which can be achieved by taxing them; this is what Bolsheviks did and it resulted in millions of deaths from starvation), but to get rid of poverty.

Taxing the rich won't help with poverty. Because if even if top 1% will be paying 100% taxes and still continue to work, total government tax income will be increased by 20% or so (that's from richest 1% get 30% of income). That's not a lot, and these money will be spent inefficiently by the government (as government always does).

The government already has more than enough money, but it spends it inefficiently, and this issue need to be addressed (by fixing the system), for example:

* fix gerrymandering

* replace FPTP voting with some variant of ranked choice voting

* increase the limits of the candidate money collection (currently they are very limited for the candidates, but unlimited for parties)

So when more independent or less dependent on parties candidates are elected, more issues can be fixed, for example:

* fix many regulations which drives hospital prices up

* fix regulations which makes lives of ISP monopolies too easy

and so on.

Re: Global minimum corporate tax: 130 nations to support U.S. proposal

#140

Post by balsamiq »

mikeha wrote: post #22
ginko wrote: post #13

Anyone got a list of the countries? I tried googling around a bit to try to find it. At least other articles[1] mention all G20 countries are on board. That would include India, Russia and most importantly China. [1] https://www.bbc.com/news/business-57573380

https://www.oecd.org/tax/beps/oecd-g20-inclusive-framework-m...

Notably absent from the list: Ireland.
Post reply on HN