The Myth of taxing ‘the wealthy’

This is such a fundamentally basic point about economics that Fred Thompson pointed out in his speech the other night:

Not to mention – the very idea of taxing ‘the wealthy’ is essentially class based Marxism. The same bull-crap lies behind ideas like ‘windfall taxes.’ How does it promote liberty to grant The State the power to decide when a person, or business has made too much profit – and then to seize that profit by force? (Hillary – “I want to take those profits,” Obama on windfall profits)

People want to tax the crap out of businesses – and then they turn and whine about them sending jobs outside the states?

The wealthy and businesses are the job creators and investors. They make more jobs possible. Take for instance where I work: The small company I work for was recently purchased by a large parent investment company. That investment company saw value in the product we were developing and decided to invest in us. This then, provides us with the funding required expand our staff and create the product we are working on effectively. Their investment is paying the salaries of many many people, as well providing the funding for our technological requirements.

Our business could not function without the parent company’s investment. Laying a massive tax burden on our parent company would clearly have a direct negative impact on my own middle class livelihood – as well as on the customers purchasing the service we provide.

How people don’t see this direct correlation, to me – is mind boggling. Of course – it only follows when you have the media demonizing businesses 24 hours a day, telling you that ‘they’ are the ones holding you down – you should envy ‘them’ – you should vote to destroy ‘them’ – ‘they’ deserve it.

Before you vote for something like that – better find out who ‘they’ are. ‘They’ might be ‘you.’


4 Responses to “The Myth of taxing ‘the wealthy’”

  1. Patrizia Says:

    Great posting! it has always amazed me how the States reaches out to get you wherever you are. In Panama, you only pay taxes on your income produced in Panama, so most companies where their business model can afford it keep everything offshore. A lot of companies are comind down to base in Panama in the Howard area (especially tech companies) because it allows them to get a bunch of benefits and a lower cost of living. Once you are in Howard your choices as an executive to live include modern Panama city, almost country side (near jungle where the Canal Zone is) or a colonial historic city (Casco Viejo) which has all the fun nightlife.

  2. Connie Brooks Says:

    Beautiful post. The wealthy will do what they can to find a way around the tax, exactly as you say. If that means not investing in the businesses and people here in the US, well then, what did we expect?

    If you “rob from the rich to give to the poor” too often, the rich simply stop being a target.

  3. UK Voter Says:

    We have exactly the same problem in the UK. Now they want to include a windfall tax, no wonder so many companies are moving their head office to southern Ireland.

  4. Pam Says:

    The taxing should be done on imports not on businesses in the country. That way it keeps work in the country.

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