Amer­i­can shell game

The Washington Times Weekly - - Letters To The Editor -

Politi­cians con­tinue to tell us they are tax­ing cor­po­ra­tions thus shar­ing the cost of gov­ern­ment. Far too many of us buy that hokum.

Let’s pre­tend for a few mo­ments that we have a great recipe from our mother for a loaf of date bread. It is so good we start a bak­ery and go into busi­ness for our­selves.

Now we must cal­cu­late our costs. To ar­rive at that fig­ure, we will have to to­tal all costs at­trib­ut­able to this en­deavor.

A lease on the prop­erty where will set up shop, cost of raw ma­te­ri­als, all util­ity costs, la­bor to make and mer­chan­dise our prod­uct, ad­ver­tis­ing, freight for in­bound ma­te­ri­als and cost to dis­trib­ute our bread, wrap­pers or bags and store fix­tures

That done we re­al­ize we will be sub­jected to any taxes as­sessed to our busi­ness and that cost will also have to be in­cluded.

There go our hopes to sell our bread at a profit for $2.25 a loaf. We have no choice but to add the 20 cents for taxes to the price which is now $2.45.

Guess who just paid the tax. True, our cor­po­ra­tion may write the check but the funds cov­er­ing that fig­ure came from the ul­ti­mate con­sumer.

If those who ad­vo­cate cor­po­rate tax in­creases don’t un­der­stand this, it would seem to in­di­cate they are not fully qual­i­fied for their job. If they do un­der­stand the con­se­quences then they are guilty of de­ceiv­ing us.

So what else is new?

Don Pix­ley

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