Can’t do anything, it won’t help, so why bother… is that your stance? What should be done? Do you agree there is a mostly one-way transfer of wealth in this country that has been going on for some time and getting worse?
I’m merely pointing out the reality. These tax “loopholes” do not exist by mistake as the term seems to insinuate. There’s been plenty of time and opportunity for either side or both to reform taxes, yet it has yet to happen. It’s not favorable to the donor class or the corporations with whom they have incestuous relationships. Aside from a small minority, I think complaints by our politicians are mere political theater.
We can’t even get Congress to police insider trading under their existing policies (honestly probably more sensible considering investigating likely costs far beyond the negligible penalties) let alone enact regulations to stop this blatant corruption.
if you have a suggestion of how to enact tax reforms, I’m genuinely interested.
I grew up in CT and their tax policies have ruined, perhaps irreparably- or at least for decades, the state’s economy. After the recession the governor created the most business-unfriendly state in the country and one with the worst economic recovery. GE’s global HQ’s was in Fairfield, CT since the 70’s and was the states biggest tax payer. After being increasingly taxed every way possible, GE warned a new tax policy would make them leave. The Gov played hardball and lost and GE moved to Boston where they were welcomed with open arms (and lots of incentives). CT lost 5700 jobs and caused extreme harm to property values in Fairfield county, some of the most expensive in the county.
GE is not alone. Lego’s US HQ also moved to Boston. Aetna insurance- one of the oldest companies in he state/country, old enough to have insured slaves (as property) - off to NY. And there’s plenty of companies that have had huge presences they’ve moved elsewhere- like Pfizer.
Over the holidays I spent a few weeks in various parts of CT and haven’t spent that much time there in 10+ years. The place is a disaster. Even the ultra affluent towns are showing signs of decay. And the quaint rural towns have been overrun with out-of-state investors building giant condo/apt complexes to fulfill low income quotas and provide “affordable housing”. Since when is a $700k 2BR condo outside of Hartford “afforable housing”?
It’s not hard to imagine high taxes- whether for business or individuals ultimately drive people out and especially into places that will offer incentives. Reportly Norway has a wealth tax (>$135k) that was increased and has started a historic efflux of their most wealthy citizens. And a lot of these schemes have been abandoned because they rely on taxing unrealized gains which makes no sense and is legally problematic. Many people are obviously migrating within the US from high to low tax states.
While there is certainly a problem with wealth distribution in the US, I think corporations are more of the problem than billionaires personally- though to some respect they’re related.
What I do have a problem with are billionaires who believe their wealth entitles their opinion to more valuable if not inherently always correct. Why should Musk consider himself the arbiter of free speech? Why is Bill Gates treated like a public health authority when he has no credentials? Or the many elite who demand society sacrifices for the climate yet they are justified in flying private jets (perhaps several), sailing their mega yacht(s), and owning a portfolio of mansions they rarely use. Just how I dislike billionaires are treated as the enemy unless they share political views? How often has ie MSNBC included George Soros in their criticism of billionaires.
There is definitely a one way wealth transfer. But our government has allowed it if not often promoting it. I suppose we all have some responsibility ie favoring the bottom line versus supporting our local businesses. Offshoring our jobs probably doesn’t help our case.
I’m not sure how to resolve this issue, but it’s a much deeper issue than a simple wealth transfer back. Because it’s unlikely to work as many other nations have discovered and the political elite lack the incentive. And for whatever reason we elect the same people over and over again despite their failures.