There will be many political and economic traps for President-Elect Donald Trump to avoid while he is in office. Tax reform is a slippery slope for any politician. Taxing business is a deceptive action. The truth is that corporations DO NOT PAY TAX. Every corporation must make a profit to survive. ANY TAX that threatens that is simply passed on to the customer. That is where the Border Adjustment Tax (BAT) comes into play. You will pay more. Read it all here.
As Written By Dan Spencer for Red State:
Now that there will be “unified” government with a republican Congress and President and without soon to be former President Obama not around to blow the deal, long-sought tax reform might finally come to pass.
Both President-elect Donald Trump and House Republicans have laid out tax reform plans. According to Mary Burke Baker and Stacy J. Ettinger, while the two plans have many synergies, including lower business tax rates and special rates for repatriating offshore earnings, the House Republicans’ “A Better Way,” more frequently referred to as the “Blueprint,” is getting most of the Congressional attention.
As the tax reform debate heats up in Congress, the obscure border adjustment tax (BAT) is causing friction within the GOP.
What is the BAT? Well, Steve Forbes calls it “a nasty political and economic trap for Donald Trump” — a trap he says is being set by Republicans rather than Democrats.
The border adjustment tax basically levies a tax on good retailers import while providing a tax break for American goods that are exported to foreign countries. As further explained by Baker and Ettinger, the BAT is a mechanism intended to encourage business activity and exports in the United States and discourage corporate inversions, certain cross-border …
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