Privatizing Taxation

Microsoft's Carbon Emission Tax 

Microsoft along with other companies has implemented an internal tax structure to tax itself in an effort to address the environmental concerns that result from carbon emissions. Microsoft along with various other companies has begun self regulating in an effort to address various environmental concerns. Regulation of carbon emissions is a global concern that is addressed by many governments most recently in the United Nations Sustainable Development Summit. Global leaders met to discuss the growing environmental concerns in their countries.While countries are attempting to address these issues on a global level.  Microsoft and 437 other companies are imposing taxes upon themselves and allocating the tax to internal sustainable energy initiatives. The company has saved over $10 million dollars in energy expenses through it's internal taxation campaign. Microsoft expects to save over $20 million through its reduced use of carbon emissions. Companies such as General Motors and Exxon Mobil have began internal taxation of carbon emissions also reducing their energy costs. Some of the companies imposing taxes are not reinvesting the internal taxes for sustainability initiatives but have imposed the internal tax in anticipation of governmental regulations that may be imposed in the coming years. The concept of internal private taxation has emerged among large and smaller scale companies to further the functionality of the business and to address social and political concerns. Microsoft's actions are consistent with the global stance on carbon emission which is the importance of its limitation. http://ec.europa.eu/taxation_customs/resources/documents/company_tax_study_en.pdf Read about Microsoft's internal taxation structure and the movement that exists among larger corporations to create sustainable alternatives within their corporations. http://nyti.ms/1Fpv6JF

Raising Taxes

Increased Taxes for Hedge Fund Managers

Both Jeb Bush and Donald Trump propose a tax increase for Hedge Fund Managers. The proposed tax would require the classification of income earned as income rather than gains on investment as the tax is currently classified. Bush proposes a reform of the carried interest policy which allows profits from managing funds to be taxed as as investment gains rather than earned income. This along with other reformations of the tax code are proposed by both Bush and Trump. These reforms come as a surprise to many as Bush and Trump are no strangers to wall street and are aware of the various loopholes used by hedge fund managers to avoid paying taxes. Increasing taxes on income earned by hedge fund managers will result in greater taxes earned which could be reinfused into the economy. As many politicians have mentioned throughout the course of their campaigning a reform of the tax code is necessary to properly allocate resources. The codes expensive policies allow for individuals with access to tax specialists to take advantage of various loopholes within the code which take away from the benefits that should exist under the code. An increase in taxes for those who can afford to pay inversely effects lower income individuals that pay regressive taxes that they cannot afford. An increase in the taxes of income of individuals who can afford to pay would result in great benefit for individuals that are unable to afford to pay regressive taxes. http://www.cnn.com/2015/09/08/politics/jeb-bush-tax-proposals/

The Earned Income Tax Credit

Agreeing with Trump on the EITC?

I never thought I would see the day that I agreed with Donald Trump on anything, but that day has come. The Earned Income Tax Credit (EITC), is a refundable tax credit provided to qualifying lower income individuals. It is utilized by many lower income people as a way to supplement their low incomes. The credit is primarily available to individuals that work but often still make below the poverty line. The credit often allows these people remain above the poverty line. The credit is anticipated by many lower income people through out the year and these individuals are often taken advantage of in attempts they make to access these funds. Institutions such as H & R Block and Jackson Hewitt provide these individuals with a local vendor that can assist them with completing their returns properly in order to receive the funds. Unfortunately, H & R Block and others charge exorbitant fees for these services which often take away from the large refunds these individuals would receive. A system is necessary to regulate these preparers however their services or similar services are necessary as these people often do not have the resources or ability to complete these returns on their own. H & R Block and other tax preparers are generally located in lower income neighborhoods. They are often the only access that a lower income individual will have to an accountant or individual who might have the knowledge necessary to ensure they receive their complete refund. These preparers are not regulated by any institution. They are not required to have a college degree or take any form of examination. Changes such as a degree, or exam requirement would be helpful to ensure that they are providing these individuals with the best services possible. These preparers should also be required to reduce their fees and provide a flat rate for lower income individuals so that they are not taken advantage of. Additionally, in certain circumstances these preparers should be required to provide pro bono hours for those who cannot afford to pay. There are government preparation services but they are often not located in areas where lower income individuals can access them. So yes Trump may be right about H & R Block unless they take some affirmative steps to change the way they handle individuals that receive the EITC. The following article http://www.forbes.com/sites/kellyphillipserb/2015/09/04/fix-the-tax-code-friday-tightening-up-the-eitc/print/ describes Trump's reasoning for why H & R Block should go out of business.