Comment on Corporations Like Nike Paid $0 Federal Tax in 2020 While CEO Pay SoaredparentComments−valuearb5yProfits are frequently reinvested, taxing them means less to reinvest, and lower returns for investors, which means less incentive to save & invest.−jellicle5yEvery dollar invested becomes untaxed, whether that happens immediately or is delayed. Always has.−valuearb5yI invest $1M building a great new store for selling widgets. My first year I make a $1M profit. I want to build a second store, but I can't out of profits, because I only can net $700k because of state and federal corporate income taxes.−jellicle5yAs you'll immediately get that $300K refunded with your next tax return, it should be trivial to borrow money for a few months.The idea that there's no access to capital to build out successful businesses is laughable.
Comments
Profits are frequently reinvested, taxing them means less to reinvest, and lower returns for investors, which means less incentive to save & invest.
Every dollar invested becomes untaxed, whether that happens immediately or is delayed. Always has.
I invest $1M building a great new store for selling widgets. My first year I make a $1M profit. I want to build a second store, but I can't out of profits, because I only can net $700k because of state and federal corporate income taxes.
As you'll immediately get that $300K refunded with your next tax return, it should be trivial to borrow money for a few months.
The idea that there's no access to capital to build out successful businesses is laughable.