If Canada's corporate tax rate was the same today as it was in 2000, we'd be collecting roughly an extra $20 billion a year in taxes

So corporations pay corporate tax do they? I think not. What they actually do is remit corporate tax. There's a difference.Consider this: When I was a kid, my mom would send me to the corner store with $.40 to buy a loaf of bread. I would give the shop keeper the $.40 , in return, he gave me bread. The question then is, 'did I pay for the bread'? From the point of view of a casual observer, the answer is probably 'yes', but from a tax-guys point of view, the answer is ' not a chance'.For a tax-guy to understand who pays, he has to identify the agent that bears the burden of opportunity cost. http://www.investopedia.com/terms/o/opportunitycost.asp , in other words, the agent that has to forego buying this in order to buy that ,and that agent wasn't me. That agent was of course my mom ; she's the one who had to decide "do I spend $.40 on bread, or do I spend it on milk? Do I spend it on bread,or do I spend it on gasoline?" So if I didn't pay for bread, what was I doing? I was acting as a transfer-agent http://en.wikipedia.org/wiki/Transfer_agent In common vernacular, I was the errand boy.Knowing this, lets go back to the corner store and watch me buy bread, only this time, we'l remove the element of time so that all transactions happen instantly.I go to the counter and put down $.10 .That dime immediately vanishes [remember, we've removed time] and immediately appears in the bank accounts of the store-workers. Thats the labour-bill-per-loaf bill payed. I put down another dime, which vanishes, and appears in the coffers of the power company. That's the power-bill-per-loaf bill payed. Another dime goes down, and immediately appears in the coffers of Revenue Canada. Thats the tax-bill-per-loaf bill payed.So who pays corporate taxes? Not corporations that's for sure, in fact all corporate expenses are paid by consumers-not necessarily end consumers, but consumers none the less. In fact all corp. expenses, sooner or later, in one form or another, for better or for worse, are paid by consumers. Corp's are just 'errand-boys' who take money from consumers and transfer it to gov.

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