How do you get that out of this: “The corporate income tax – the source of endless waste and fraud in our tax system – will be eliminated. No longer will American businesses face the highest top tax rate, 35 percent, in the developed world. The trend of American companies and jobs moving off-shore will stop. Instead, all companies will pay a simple, low rate Business Flat Tax of 16 percent. The tax will be based on revenues minus expenses such as equipment, computers, and other business investments.” https://www.tedcruz.org/tax_plan/
Revenues minus expenses at the end of the year & pay 16% on that seems pretty simple.
The problem I see is that the Cruz plan doesn’t seem “revenue neutral”...”eliminate all payroll taxes” [15%])...he must be planning some budget cuts?
Generally a tax would be applied to net income...ie sales price - cost...this way it is added to the price...it has nothing to do with the business other than adding it to the bill when the widget is sent to the retailer.
You complain about the waste and fraud in the tax system (which allwos business to get out of paying taxes) Well THIS obsolves them of having to pay any taxes at all!!