Corporate Taxes

Well said by Holman Jenkins in the WSJ:

The only real function of a corporate income tax is non-transparency. Taxing a company is a way for politicians to pretend they are not taxing any actual voter to pay for programs that voters find desirable as long as they seem not to come with a price tag.

We doubt we ever said it quite that pithily.  It is why the only real corporate tax reform is to eliminate it.  Yes, there are problems with Value Added Taxes (VAT) but a VAT is a much better choice than a corporate income tax.  We should be eliminating the corporate income tax first.  A grand bargain would be great but first reduce the harm.

Update: For grand bargains see Graetz or us.  He is more details but we include an even grander grand bargain.

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