Down With Corporate Jets!
5th July 2011
Obama’s attack on “corporate jet owners” provides a short course in populist demagogy. From the sound of it, you’d think Obama was against the deductibility of corporate jets — “a tax break for corporate jet owners” — but no. The attack was in service of a proposal to increase the depreciation schedule on corporate jets from five to seven years — even though Obama himself had signed the legislation reducing the depreciation schedule to its current form.
My, what a surprise. Aren’t you surprised? I’m sure surprised.
Professor Epstein characterizes Obama’s economics as “primitive” and explains: “First, it is not possible to gain more money for the public treasury by taxing heavily those practices that are efficient for a firm. Putting a special tax on corporate jets will cut corporate profits, leaving nary a dime to fund the worthy causes that the president promotes. To repeat a constant refrain, taxation policies that are unsound in good times do not become sound in bad times.”
July 5th, 2011 at 23:33
Wait–you mean to say that a tax on corporate jets will impoverish corporations to the point that they won’t be able to take advantage of tax breaks for donating to worthy causes? Who knew that corporate jets were so vital to the social interest?
Somehow, I have my doubts…