tbbn,

"Unless you can produce "The best economic analysis".... "

Well you could look at:

'Arulampalam(2010), “The Direct Incidence of Corporate Income Tax on Wages” which looked at 9 EU countries over a 7 year period and found that for every $100 reduction in corporate tax, wages increased by $59.

or

Gravelle (2010), “Corporate Tax Incidence: Review of General Equilibrium Estimates and Analysis” a meta-study of 4 other analysis which found that some 60% of company tax falls on capital and 40% on labour over the long term (5yrs).

or

Felix (2007), “The Direct Incidence of Corporate Income Tax on
Wages” which looked at 30 countries over a 30 year period and found that wages went up by 7% when corporate taxes were reduced by 10%.

Its comforting to rely on mere assertion but rather silly to do so in the face of data and a current real world example.

Aidan,

The above studies are based on empirical historic data. In a free market system, even one as dirty as our own, there is no way that 100% of the benefit will go to shareholders except, perhaps, in the extreme short-term.

Nick-etc,

See a little nudging and we get closer to the truth. We've gone from $6.7b in revenue and large dividends to $34m in book profit and no dividends. Now if only we could understand the difference between book profit and taxable income we'd see why no tax was paid in that year. But baby steps, eh?

Baby steps by work experience kids in ATO has Exxon in crosshairs for 'shifting profits' - The Australian
www.theaustralian.com.au/..
Dec 8, 2017 - The Australian Taxation Office is auditing oil and gas major Exxon over eight years of its tax returns as revenue officers try to lock the resources sector into paying healthier returns.

Exxon is a registered charity offering petrol services to battler motorists. Canteen ladies cook the books on Tuesday evenings using type writers donated by church groups in Wall Street.

Aidan,

Firstly I thought your philosophy was the government could pay for everything by printing money?

Secondly, the deductions that the Aus government has is pretty much the same as the deductions that every other government has.

Finally, Ireland and Singapore with company tax rates of 12.5% are doing fabulously well.

Shadow,
>Firstly I thought your philosophy was the government could pay for everything by printing money?
You did indeed, but it was never ever my philosophy. It was as if your brain switched off every time I tried to explain it!

The ability to print money means the government never has to worry about running out of money. But taxation is still needed to give that money value.

>Secondly, the deductions that the Aus government has is pretty much the same as the deductions that every other government has.
Source?

>Finally, Ireland and Singapore with company tax rates of 12.5% are doing fabulously well.
They are doing well, but there's a lot more to it than the tax rate.

Book profits of multi-nationals , Bitcoin and amphetamine suppliers face headwinds . Profits can disappear at the flick of a pc , directors' bonuses are anyone's guess and tax is death. People should share more.

Aidan,

Firstly you admit that the currency has value based on revenue by taxation. It follows then that if more is issued than is received in taxation either debt is accumulated or the currency devalues, which is reflected in reality.

Secondly, If you want to challenge me then the onus is on you to show that I am wrong.

In accountancy (which I have done as part of an economics degree) the basis is what is known as GAAP or generally accepted accounting practise which is the foundation of all all accounting world wide, and is used to determine profit and loss for taxation purposes. While different countries allow different write offs, these tweaks account for only a small fraction.

Finally, the argument from the left whingers is that the loss of income from lowering the tax rate is not compensated by an increase in tax from investment and wage growth. However, the fact that none of the countries with very low tax rate are suffering from massive deficits or unemployment blows a hole in that argument.