Taxation Lesson for a Liberal’s Point of View

With many corporations merging with or buying out foreign corporations and then taking on the identity of that foreign corporation to lower their tax burden, the liberal point of view is to tax them anyway at the same or higher rate than when they were an American Corporation.

For a little base information on the issue, America taxes corporations higher than any other developed nation in the world. The corporate tax rate for American corporations is 35% of all income earned by the corporation worldwide. No other country taxes their corporations on any income created outside the boundaries of that country because the nations where the income is produced are already taxing that income. So there is an incentive for a company to move outside of America to increase the profit margins for the stockholders who the corporations are ultimately responsible to. The tax rate for corporations in Canada is 26% but only on the income generated in Canada.

If the corporations move outside the confines of the high taxation of America, what is the next logical step for the corporate leaders? The corporate leadership moves outside the United States to protect their personal income. In the upper income bracket in America, the tax rate for individuals is 35% like the corporate tax, while in Canada; the highest tax rate is 29%.

EXAMPLE: A corporation making $10,000,000 profit in America and worldwide profits of $100,000,000 has to pay $35,000,000 in corporate taxes in America while if it were a Canadian Corporation the tax burden would be $2,600,000 for a difference of $32,400,000. That is a huge difference between the two and stockholders would support the move. All of the Chief executives in the company make $2,000,000 a year each. In America, their tax burden would be $700,000. In Canada, the taxes are $580,000. That is a difference of $10,000 per month.  So the intelligent thing to do is move.

Now, to the liberal point of view to tax them at the same or higher rate than when they were an American corporation:

To continue to tax as if still and American corporation or raise the tax rate on those corporations America would have to then tax ALL foreign corporations doing business in America at the same rate. What happens when you put a levy on foreign goods being imported to America? Foreign nations put levies against American goods being exported, or even place embargos on American exports. Who gets hurt the most? America gets hurt the most. America is dependent upon the income produced in importing and exporting goods. If you cripple that system, you cripple America. Right now experts estimate that there is $2,000,000,000,000.00 in American corporation profits sitting overseas because the companies don’t want to pay the most exorbitant tax in the world on that income earned overseas. While liberals try to scheme ways to get their hands on that money, which will never work, Americans are the ones who are losing.

If America did not tax that overseas income, it would be brought back to America and most of it would be paid out in dividends to the stockholders and those dividends are……wait for it……..wait…….TAXABLE!  But America wants to tax the income and then tax the dividends because in the case of the $2 trillion dollars it would get 35% of the bulk ($700 billion) and then 35% of the remainder that was paid out in dividends or ($455 billion) for a total taxation rate on that $2 trillion dollars of 57.75% (the $1.155 trillion taken in taxes).

What liberals don’t seem to understand is those corporations do not have to repatriate that money to America.  Even though some are shouting to tax it even if it is not repatriated, the obstacle is you cannot prove how much is out there and therefore you cannot tax an unknown amount.  The other issue that they seem to have a problem understanding is $455,000,000 in tax revenue is better by a long shot than $0 which is what we have while it sits overseas.

Also, now America can only tax the corporation on profits made in America. America is still losing out on what it was getting before. They are losing out in the example above on $31,500,000 in tax revenue from this one company. However, if you raise the taxes too high and it is no longer cost effective for an international corporation to do business in America, they close their doors on American operations and once again the big loser is America because now it gets $0 in tax revenue from that company AND all the Americans previously employed by that corporation are now unemployed; which jacks up the unemployment rate.

So now, the liberal approach has forced more and more corporations to become foreign companies to lower their tax burden and the leadership making the most income from those corporations has moved with the companies decreasing the American tax revenue to sustain American spending.

To maintain the level of social programs the government would be left with no choice but to tax the middle class at a higher rate because the upper class income has vacated our shores resulting in middle class income becoming the new upper class. You raise the taxes; you lower the buying power of the citizens thus increasing the consumer price index. When the consumer price index increases, inflation is the result which further decreases the buying power.

After a while, more and more people with educations and skills will leave the high cost of living country of America for more favorable treatment in other countries. As you export your knowledge workers, what you have left is a third world country.

Of course, when we become a third world country at least then companies in other countries will outsource their jobs to America and those who are left will be employed again; but who can wait that long?

The biggest issue I see is that liberals look at now without consideration for the future ramifications because that will be someone else’s problem and they can always say “look how we helped” even though their help is what causes crises down the road.

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A Thorough Fall Cleanup

This year I decided to do my autumn cleanup a little early.  The past two autumns on here I have gone through my previous posts and deleted those that did not have like or response.  This year, after surgery on my foot left me sitting on my fat………..thighs, yes I will go with thighs here, I decided to get it out of the way.  Now, my post count is back down again, but without the writings that did not deserve reactions.

Now, I have to get my thighs in gear because my human resource management class starts in an hour and when you consider it takes 25 minutes to drive there and I haven’t done anything to get ready to include putting clothes on, I have to get my butt in gear!  Have a great day people!

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Ferguson, MO

I look at what is going on in Ferguson, Missouri and shake my head. An 18 year old young man died at the hands of a police officer. An 18 year old man who had earlier in the day robbed a store with his partner in crime, a partner in crime who was also the one who stirred up the community after the shooting. This young man, who was 6’ 04” tall and well over 250 pounds, who unlike the mainstream media portrayed as a clean cut young man, portrayed himself as a money hungry, gun toting man who liked to party. A photograph of him with a semi-automatic pistol in his hand, a bunch of money in his mouth and a bottle of vodka in the foreground came to light; so he wasn’t as clean cut as his parents believed.

This young man, who towered over the police officer by many accounts tried to take the officer’s service weapon from him and the gun discharged while the officer was still in his vehicle. Those same accounts also relate how he struck the officer many times while trying to disarm the officer. When the officer got out of his vehicle and told the young man to stop, the man turned and bum rushed the officer forcing the officer to fire and continue firing until the threat was neutralized. The last two shots to the head stopped the advance of the young man.

The friend who was with him, not only at the time of the shooting but also at the time of the robbery, told the community that the young man had raised his hands and said “don’t shoot” and the officer shot him anyway. Personally, someone who has aided and abetted another in the commission of crimes has zero credibility with me as a witness, but the community listened to him anyway. With the officer being white and the young man being black, the community became agitated and decided to protest. The protest quickly turned into a riot with arson and looting. The media was showing looters on the air who were stating that they had a right to loot and riot to show the white man he couldn’t control them and they were doing this to get the white man to quit killing black people.

What started as an issue between:
1. A police officer and a suspect, went to
2. Law enforcement and a civilian, which digressed to
3. A white law enforcement officer and a black man, which then became
4. Whites against blacks.

What started out as a police matter now became a racial ordeal with the claim that again the white man was putting the black man down.

Escalating the situation were people like the lawyer who represented Trayvon Martin’s family, the racist Al Sharpton and the ever attention loving Jesse Jackson Sr.

I am going to interject at this point a couple facts (which in cases like this people sometimes do not want to see because they conflict with the emotions they feel the need to display):
1. From 1980 to 2011 the average number of murders of black people committed by white people was 7%.
2. From 1980 to 2011 the average number of murders of white people committed by black people was between 14 and 16%.
3. In 2011, 3,172 white people were murdered. Of those murdered, 448 of those murders were committed by black people.
4. Also in 2011, 2,695 black people were murdered. Of those murdered, 193 were committed by white people.

Going back to the protesters wanting to know when white people were going to quit killing black people, I think their claim for protesting has been debunked with more than double the incidents of black people murdering white people than there are of white people murdering black people.

Add to that the Governor replacing cops on the streets of Ferguson with State Police did not settle the community down but furthered the perception that the police had done wrong and so he sent in the National Guard.

Don’t get me wrong, I feel for the parents of not only the young man shot, but for every parent who ever have to bury one of their own children. Having to bury someone you gave birth to, raised and nurtured is not something I would wish on anyone.

As a parent, I would be taking my son’s friend and let him know under no uncertain terms if he lied to me I would make sure he would answer to his maker post haste, and have him tell me what happened several times. If his story changed once, I would make sure he knew I meant to keep my promise to send him into the next world and make the truth come out no matter how painful the truth may be.

As far as Sharpton and Jackson are concerned, I would be letting them know in no uncertain terms that if one more person dies or gets hurt because of all the venomous hate they spew, they would be charged and held over for inciting and conspiracy to commit murder, ensuring they understand it is not an idle threat. Neither one of these serpents is there for the good of the community; they are only there to get their names mentioned again. If they had the community in mind, why haven’t they been in Chicago, Detroit or Washington D.C. trying to get people to quit killing each other there? I can tell you why but I think it is pretty obvious to anyone who knows these two.

To top that off, Obama sends Holder to Ferguson? What kind of political BS is this? Obama says he sent Holder to investigate if the young man’s civil rights had been violated. The investigation into what happened isn’t even finished and they want to start a civil rights investigation? That’s nothing but trying to sway votes. Do you think for one second if Obama really was concerned about this young man’s civil rights he would have made the statement and then gone back to golfing?

Look at it this way:
1. Media sees a chance to get ratings and reports the shooting and the dead man’s friend’s version of what happened without finding out both sides.
2. Martin’s lawyer, Sharpton, and Jackson see a chance to get back into the lime light and announce they’re going to Ferguson; and the media reports it for another chance for ratings.
3. The Governor sees the publicity the others are getting and sends Missouri State Police and eventually the Missouri National Guard in and he gets more air time because once again the media sees a chance for ratings.
4. Not wanting to be left out, Obama sends Holder in to investigate before the facts of the incident come out. Why? There is no way to determine if anyone’s civil rights have been violated until AFTER the investigation is complete. Does the media need to jump in and make this headlines again? If there is a chance for ratings, you know they will, and they did.
5. Now, a day late and a dollar short, the parents of Trayvon Martin announced that they too are heading to Ferguson and the media made sure to announce it.

This rioting, looting and blaming has done nothing but to divide this nation even further than it has. One incident involving a police officer and a young man has turned into a circus. If the investigation finds that it was a righteous shooting the community is already wound so tight they will riot, arson and loot again. If the officer is brought up on charges many others will claim it is nothing more than a political stunt to secure votes for democrats in the mid-term elections. Either way, a lot of people will feel justice has not been served and the media, the serpents, and the politicians are the ones to blame.

When it is all said and done; when the media has left town, all there will be are looted and burned down businesses all over Ferguson where the owners won’t want to rebuild and re-open. The people of the community won’t have a place to work because their place of employment is now nothing but an empty store front or a pile of rubble. The community will fall further into a state of disrepair and the citizens of the community won’t understand why and will blame someone else.

Over the last 50+ years, I have seen this more than once and yet people don’t learn. The best scenario is to let level heads prevail and get to the facts. Once the facts are obtained, let justice prevail or accept justice was served on that night.

Sources for the statistics are:

http://www.bjs.gov/content/pub/pdf/htus8008.pdf

http://www.fbi.gov/about-us/cjis/ucr/crime-in-the-u.s/2011/crime-in-the-u.s.-2011/tables/expanded-homicide-data-table-6

Posted in General Rantings, Nourishment For The Soul, Opinion, Politics, Sociology, Writing | Tagged , , , , , , | Leave a comment

Through The Eyes of a Child

Is there anything more beautiful as the mind of a child? Raising our two children so many years ago they went through a period of amazement at things we as adults take for granted. I was reminded of those moments this weekend while at the kids house. My granddaughter took me to her bedroom where there in front of the window is a wooden chest. On top of the chest was a potted plant with flowers. My granddaughter said “See Papa, pretty pink flowers!” I acknowledged that her flowers were pretty and she said “Nana buy me pretty pink flowers.”

I was not surprised to find out my wife is now populating the kids’ home with flowers since I told her the tropical rain forest known as our home could not take anymore plant life inside. My granddaughter then took me by the hand down to the dining room where an orchid my wife bought them stood proudly on the dining room table.

“See Papa, pretty white flowers!” she said.

“Yep, pretty white flowers baby doll!” I replied.

“Why Papa?”

“Why Baby Doll?” I inquired.

“Papa! My flowers pink, Mama flower white! Why Papa?”

My granddaughter is three months shy of her third birthday and is noticing flowers come in different colors and is curious why it is so. This fact alone surprises me because I think she is too young to be curious of such things. Or is she? Were my own children that curious so young in life and I’ve forgotten over the thirty years since? Then comes the question of how do you explain pigmentation to a two year old child? I took the chicken’s way out; “Nana color Baby Doll’s flowers to make them pretty, but Nana only painted a little bit of Mama’s flowers. But Baby Doll can’t color flowers, Okay?”

“Okay Papa.”

She then walked into the living room where my wife was playing with our four month old grandson. She looked at Nana and said “Good job Nana!” I thought I was going to burst my gut laughing. Of course I then had to explain the whole conversation to Nana and my children.

Later Baby Doll looked at me and said “Papa, I need a banai.” Banai is Baby Doll’s way of saying Band-Aid. “Why?” I asked. “Mere Papa, I show you.” Mere is “come here” to her. I followed her out to their deck where there are two potted tomato plants. One of the tomatoes on the vine had a small split in the side. Baby Doll looked at me and said “See Papa, mato has owie!” I understood why she wanted the bandage now, but how do I explain tomatoes don’t need bandages? After a lengthy debate and a small temper tantrum the tomato received a “Hello Kitty” Band-Aid and Baby Doll was happy.

Finally, just before we returned home, Baby Doll was sitting on my lap talking to me when she stopped, reached up, and pulled my glasses off my face. “Baby Doll! Papa needs glasses to see” I told her.

“No glasses Papa.”

“Sweetie, I can’t see without my glasses.”

“No glasses Papa!”

“Why no glasses Baby?”

“I need to see Papa’s eyes!”

“Why do you need to see Papa’s eyes?”

“Because I like Papa’s eyes. Papa eyes blue. I like pretty blue.”

Baby Doll, from the time she was just a baby not even a year old has always liked to look at my eyes without the glasses interfering with the view. Before she could talk, if I looked over the top of my glasses at her would always result in a smile or laughter; now I know why.

This morning sitting here thinking about the events of yesterday caused me to contemplate the thought “What if humans never grew out of that stage of innocence and wonder?” Can you imagine what kind of society we would have if everyone lived life without greed, hatred, envy, and other flaws and only had wonder, amazement and innocent curiosity? The process of analyzing this train of thought brought me to the realization that Utopia does exist, but we grow out of it somewhere around the beginning of the teenage years.

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Cursive Writing

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Quotable Me

To be the person you want to be, you must first know and accept the person you presently are. – ME

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The Peanut Butter Solution

Tonight was supposed to be the night for my annual dinner of meatloaf, mashed potatoes, corn on the cob, biscuits, and German Chocolate cake.  My mother made it for me every year for my birthday.  After she passed away my wife started making it for my birthday.  But as in all things, change comes eventually and we adjust to new situations.

This year, my wife said she was going to make my birthday meal for dinner and somehow that sense of anticipation that had always built up for that meal was clearly absent.  The lack of enthusiasm was not only absent, it didn’t even sound good.  I told my wife not to do it.  When she asked what I did want for dinner, I said “Don’t worry about dinner.  I’ll make a sandwich or something.”

Today, I received birthday wishes from about 1/3rd of my friends and relatives on my social networking site and responded to each and everyone of them as is socially appropriate in my opinion and still no idea what I wanted for dinner.  My son, and daughter called me to wish me a happy day and I loved talking to them, but still no dining thoughts.

My younger brother and daughter in law sent me text messages and I responded in kind for their wishes for my joyous day and you guessed it nothing sounded good.

I had received kind words from over 60 people to include a sibling, my children, cousins, my nieces, and tons of friends and something was missing from my day.  I had noticed that my other brother and sister had snubbed me.  Not only had they snubbed me, but my brother had also snubbed my wife on her birthday.  This did not sadden me, it actually irked me as I have always called them on their birthdays every year and even called my sister in law every year to wish her a happy birthday too.  As I realized this, the only thought that came to mind was “so shall ye sow, so shall ye reap.”

Life is too short to get upset by family who does not feel strongly about family.

Anyway, I was lying here with my foot elevated from the surgery and my mind was focused on something totally off topic and my wife handed me a plate.  On the plate was two grilled peanut butter sandwiches.

Years ago, and I am talking scores of years ago, I was a tall skinny kid who was a really picky eater.  My mother used to say two things:  the first was if peanut butter had not existed when I was young, I would have starved to death; and the other was if she had been smart she would have bought shares in the Skippy Peanut Butter company and she could have retired at the age of 40.

Whenever I was feeling down as a child she used to grill me a couple peanut butter sandwiches and give me a glass of ice cold milk to cheer me back up, and it always did.  Tonight, my wife did the same thing down to the ice cold milk and cutting the sandwiches at a diagonal.

I asked my wife when Mom told her about grilled peanut butter sandwiches and she said Mom never told her.  She told me that even though she thinks grilled peanut butter is gross, she had seen me make them once in a while and noticed that even though I don’t cut most sandwiches I make, when I make a peanut butter sandwich I always cut them diagonally.  Tonight, she just had this feeling this would be the solution to the lack of cheerfulness that I usually display.

In 35 years together, my wife has never ever made a grilled peanut butter sandwich before.  I think Mom, who has been gone from this dimension for seven years, still had something to do with this.

Everyone has a comfort food and mine came home after a long absence tonight.  So, now when someone is turning to their own comfort food for help, you can say it is The Peanut Butter Solution.

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