Tag Archives: corporate taxes

How Will We Pay For Obamacare?

I read today that the operator of several Denny’s restaurants in Florida will be adding a 5% surcharge to meals to cover Obamacare when it is implemented in 2014. Big news story! Actually this is nothing new. All businesses add to their prices to cover all kinds of costs; overhead, labor, materials and supplies, insurance, real property, and yes, even taxes. That’s the way businesses stay in business. They sell their product or service for cost plus an additional markup for profit. If new costs are laid upon them, they just add it to their sales price.

What is different, and smart, about this move is that rather than folding the increase into the total cost of the meal, the surcharge will be evident and everyone will know exactly what it is for. Continue reading


We Pay Their Corporate Taxes For Them

Walter Williams has written a good piece about the hidden taxes we pay due to the fact that businesses pass all corporate taxes on to the consumer in the form of higher prices.  Essentially we are paying the corporate taxes when we purchase the product.  Legislators have designed the taxing process this way to hide some tax collection, making it less offensive to the citizenry.  We are fooled into thinking someone else, in this case big business, is helping us out by sharing the tax burden.  It seems more equitable this way.  No one follows the money to see that in the end, we are still paying all the taxes. Continue reading