| CraftyCockney (Kebir Blue) | Sunday, April 19, 2009 - 11:36 am 
Offering 20% or so tax is not really doing either the CEO or yourself any favors.
An investor in your country has to take the chance that you will manage the country well, by maintaining a sufficient workforce and keeping welfare indexes for those workers high so that production is good. To close or move a corporation costs the enterprise. The investor also has to take the chance that you will not lose interest and de-register, and that you will not suddenly, with no rhyme or reason, decide to raise taxes to 75% once you have many investors there, (as some have recently done, which imo deserves the same scuzball rating as hostile bidding).
Often it would be preferable for a CEO to build in a C3 country and pay 30% tax, but at least know where s/he is in terms of the country's management.
Considering the very minimal gain you will get from 20% taxes compared to what the private corp will pay in country resources, I would suggest presidents consider 0% tax to encourage enterprise investment along with the associated risk or build a state corp economy and charge your own corps what ever tax you see fit.
I hope this clears up a few points about corporation tax for the newer presidents and wish you good luck in what ever strategy you chose. |
