American Airlines - Last one standing

But on the other hand, the shareholder is not usually also the worker.
Where corporations have millions of shareholders, a great many
shareholders may even be outside the country. Hence taxing corporate
profits before distribution, probably guarantees a better chance of
getting at the money before it leaves the country, whether it is going to
legitimate shareholders, into dodgy tax havens, or being siphoned
illegally by the executive.

That's nice, but irrelevant.

Whatever widget (or service) the shareholder's corporation is selling must
be priced proportionately higher in order to pay Mr. Shareholder his
dividend. If you tax Mr. Shareholder's dividend more, he's now making
less -- and the corporation will be compelled to increase profitability, so
that it can pay Mr. Shareholder his expected dividend.

Guess who pays for this increased profitability, in the form of a price
increase? You, me, and every other consumer.

This is obviously a grossly over-simplified example, but there really is NO
free lunch with taxes. Every single tax on business is a tax on the
consumer, in the long run -- and don't let any politician fool you into
thinking otherwise.

Example: Here in Iowa City, there is a 5% state sales tax, and a 7%
hotel/motel tax, added to the price of every, single hotel room. When we
advertise our hotel, we sure don't quote the "with tax" rate (hell, *we*
don't get any of that money), but when you check in -- golly! -- your $99.95
suite now costs $111.95!

Everyone thinks this is a 12% tax on the hotels -- but it ain't. It's just
another way for the politicians to stick it to Joe & Lois Sixpack -- and,
best of all (from the local politico's end) -- most of the people paying it
don't get to vote here! There are therefore NO repercussions against the
tax instigators at all.

And so it is with the airlines. Tax them, and you tax *us*.
--
Jay Honeck
Iowa City, IA
Pathfinder N56993
www.AlexisParkInn.com
"Your Aviation Destination"