Yes, that is intended to disallow officers from avoiding taxes by being compensated via ‘loans’ and other means. I can’t find any case where dividends or buybacks were found to be violations of that rule. https://cpataxteam.com/blog/s-corp-owners-are-you-paying-you...
Do the math for yourself. Paying corporate taxes on profits, then dividend taxes on what gets paid out is not a savings versus paying income+payroll tax (which comes from money that is treated as an expense at the corporate level).
Capital gains are permissible because of the 16th amendment; the 16A does not permit the congress to tax assets. It seems like quite a stretch to apply Moore to cash holdings.
Many locales have laws that do not allow remuneration above the 'reasonable wage', to prevent tax circumvention by having employers spread wage payments across multiple family members of employees, but I am not familiar with any jurisdiction with a minimum reasonable wage law or regulation. Could you please link some source for the claim that business owners are required to accept a 'reasonable wage'?
I am not saying that one party paying taxes means that no counter-party should. I am just saying that the impact of different structures should be accounted for.
I agree that in a bull market, many corporations are not purchased and sold at book value. That said, we are on the largest bull-run in history, so we shouldn’t treat this as the norm, and base all our long-term decisions on the current situation.
This would be my personal preference, as I believe that voters often overlook the impact of corporate taxes, and there are just too many (different) taxes.
Not the commenter you replied to, but one thing to note is that capital gains tax (at least in the context of investments in corporate equities) is applied after corporate taxes. Profits and reinvested earnings are taxed as profits, and they're two of the key components to valuing an equity.
As such, when comparing income tax and capital gains, you should add the impact of corporate taxes. Incidentally, corporate taxes are why many small business owners pay themselves wage income, rather than doing stock buybacks or dividends.
>” You can go ahead and call that rhetoric, but you are also reading in intentions that do not seem to match reports from the ground.”
This just seems like standard union rhetoric, like when they talk about quality, or caring about the company’s clients. If the union gets concessions on transparency, and less than a 5% raise for the first year, I’ll do my best to come back to this thread and post a retraction. I don’t think I’ll have to do that.
The employees of the Wikipedia foundation did not create the dataset, though they definitely contributed to the infrastructure behind it. Sam Altman (and the OpenAI employees) contributed even more to OpenAI's continuing success (and that of their industry). Both groups are still rent-seekers, as they are attempting to profit off a market position which was developed under different auspices.
Wikipedia has a lot of money, along with a valuable dataset (for AI); it was only a matter of time until rent-seeker(s) would come along and try to get it. As we saw with OpenAI, it is difficult to keep a non-profit dedicated to its public benefit mission when it has something of tantalizing value.
Money isn’t the only pressure which influences journalism. Access (and exclusion) is a huge pressure on sports, celebrity, and political journalism. A desire for popularity/notoriety cause sensationalism. There are countless other influences which confuse (or corrupt) the nobility of the profession.
Yes, I agree that it is possible that the 'open source model providers' are doing the equivalent of 'dumping' in an attempt to establish a dominant market position, or at least a foot-hold. I am generally a skeptic when it comes to the effectiveness of 'dumping' as a long-term strategy (as the producer tends to hemorrhage consumers when it increases prices), but some may see it as problematic.