Suck Eggs, Mr. Hubbard

If you raise corporate taxes one of two things will happen.

The president of the Georgia Association of Educators said it’s time for the state to revisit its tax code and tax structure.

Although Georgia is a low-tax state compared to others in the nation, the amount in taxes that major corporations have to pay is disproportionate to the average resident, president Jeff Hubbard said. The corporations’ tax breaks means big businesses are paying 60 to 80 percent less than an average resident, he said.

Either the corporations will raise their prices and pass them on to consumers or the corporations will go elsewhere denying you the property taxes you use to fund your local school systems.

I recommend you read Hazlitt’s Economics in One Lesson.

15 comments

  1. Bill Greene says:

    WHOA, did Erick just recommend what I thought I saw him recommend?

    Watch it, Erick, Konop’s going to reply with some comment about how you support a return to the gold standard and are pushing for an Economic Apocalypse (TM). 🙂

  2. ByteMe says:

    Or, as Erick already pointed out in another posting, corporations will go elsewhere because we’re not raising enough revenue to improve our infrastructure or opportunities.

    Ideology hates those Catch-22 situations.

  3. Harry says:

    Concerning the charter schools issue in the upstream thread, if the state is giving funds to local BOEs then shouldn’t the state have a say in how the money is being spent?

    • ByteMe says:

      Pretty sure that funds for BoEds in metro counties come — for the most part — from property taxes generated in the county. State funds need to be diverted to counties that don’t have a large enough property asset base to fund their schools appropriately. Charter schools are more often in the counties that have the money to support them.

      The other thread is about the state meddling in a local issue.

    • GOPGeorgia says:

      If Georgia had a major resource like oil that most of the rest of the states work, it might be something we could look at. Tax Coke-a-cola too much and they will relocate. Oil can’t.

      • John Konop says:

        GOPGeorgia

        You are for taxes if we get away with it? And I thought you told me taxes always drive revenues down? Finally you are for a wind fall profits tax on companies and giving the money back to the people via a check every year?

        • GOPGeorgia says:

          Nope. Not what I said. I pointed out that it can’t work here. If I lived in Alaska, I might be OK with it because it helps Alaskans. What I did not say and what should be obvious it that it is bad for everyone else. Corporations don’t pay taxes; they pass the taxes on to the customers and the customers pay taxes.

          I am much more in favor of never taxing too much and then having to give the money back. I trust the people more with their money than I do government. Government needs money to work, but it should not take in more than it needs. And it spends too much, just so you can’t say I didn’t say it.

        • GOPGeorgia says:

          BTW I had a small typo in the statement which may have caused confusion. I meant to say: If Georgia had a major resource like oil that most of the rest of the states “want…..”

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