Taxing Solutions
11/06/2013 | | business deduction for interest, C corporations, corporate tax reform, econ70, Economic forecasting, economist on radio, economist on TV, eisenberg and economics, Eisenberg and housing economics, Eisenberg and public speaking, Elliot eisenberg, favorable tax treatment, funniest economist, funny housing economist, Graphsandlaughs, graphsandlaughs and eisenberg, housing sales, llc, MLS, mortgage banking, Multiple listing service, politics and economics, Public speaking economist, S corporations
While corporate tax reform is admittedly a longshot, here are two ideas that should rank high in any effort. Eliminate the business deduction for interest payments so that debt would not have more favorable tax treatment than equity. Second, require all firms with $100 million or more in sales to pay the corporate income tax. As it is now, all firms organized as S Corporations and LLCs totally avoid it.