Michigan's SBT

[ndavies]

Last I checked people still have to pay property and sales tax even if they don't make money either. Go ahead and stop paying property taxes if you lose your job and see if they don't take your house.

That was exactly my point, Businesses should be treated exactly like people. If a business doesn't make any money they shouldn't have to pay income taxes. They would still need to pay property and sales taxes.

[gumby]

That was exactly my point, Businesses should be treated exactly like people. If a business doesn't make any money they shouldn't have to pay income taxes. They would still need to pay property and sales taxes.

Oh yeah, sorry misread your post.

But the "fact" that republicans keep espousing that Michigan businesses are over taxed in comparison with the other states is an outright falsehood. Check out this link http://www.taxfoundation.org/files/bp60.pdf to see what the non-partisan Tax Foundation has to say about the Michigan tax burden on businesses. It places Michigan as the 17th best Tax Climate for Business in the nation.

[ghettopalmetto]

Check out this link http://www.taxfoundation.org/files/bp60.pdf to see what the non-partisan Tax Foundation has to say about the Michigan tax burden on businesses. It places Michigan as the 17th best Tax Climate for Business in the nation.

A bit more about the nonpartisam Tax Foundation:

What Do We Stand For?
As a nonpartisan educational organization, the Tax Foundation has earned a reputation for independence and credibility. However, it is not devoid of perspective. All Tax Foundation research is guided by the following principles of sound tax policy, which should serve as touchstones for good tax policy everywhere:

Simplicity: Administrative costs are a loss to society, and complicated taxation undermines voluntary compliance by creating incentives to shelter and disguise income.

Transparency: Tax legislation should be based on sound legislative procedures and careful analysis. A good tax system requires informed taxpayers who understand how tax assessment, collection, and compliance works. There should be open hearings and revenue estimates should be fully explained and replicable.

Neutrality: The fewer economic decisions that are made for tax reasons, the better. The primary purpose of taxes is to raise needed revenue, not to micromanage the economy. The tax system should not favor certain industries, activities, or products.

Stability: When tax laws are in constant flux, long-range financial planning is difficult. Lawmakers should avoid enacting temporary tax laws, including tax holidays and amnesties.

No Retroactivity: As a corollary to the principle of stability, taxpayers should rely with confidence on the law as it exists when contracts are signed and transactions made.

Broad Bases and Low Rates: As a corollary to the principle of neutrality, lawmakers should avoid enacting targeted deductions, credits and exclusions. If such tax preferences are few, substantial revenue can be raised with low tax rates. Broad-based taxes can also produce relatively stable tax revenues from year to year.

In other words, they're Flat Tax-ers.


http://www.taxfoundation.org/about/