Tuesday, October 18, 2005
Tax simplification
This guy
was having a galvanic effect on the commission:
and on the audience:
So what was he saying that turned the crowd into such a riotous mob?
..fully refundable in the year they are incurred, mkay. That is an option which our subgroup felt might lead to a risk of some abuse within the system, and might be difficult to police. What we therefore do is propose moving to a more generous structure than the current system which allows essentially loss carryforwards but doesn't credit you any interest on the loss carryforwards, and propose that one moves to a loss carryforward with interest regime, so that a firm which incurs a loss this period will indeed need to carry forward that loss, but the value of this loss will be incremented in future years by an adjustment for interest, given the return that was available in the capital markets, mkay. That has the effect, for at least the firms that don't go out of business and thus lose the loss entirely, of making the loss more valuable. So those in one sense are the key elements that need to be put together on the business side, mkay....
That's as far as I could get before I also succumbed to the wild excitement, and started running around the room barking.
Does anyone on earth believe we'll actually get simplification? ¶ 7:40 PM
was having a galvanic effect on the commission:
and on the audience:
So what was he saying that turned the crowd into such a riotous mob?
..fully refundable in the year they are incurred, mkay. That is an option which our subgroup felt might lead to a risk of some abuse within the system, and might be difficult to police. What we therefore do is propose moving to a more generous structure than the current system which allows essentially loss carryforwards but doesn't credit you any interest on the loss carryforwards, and propose that one moves to a loss carryforward with interest regime, so that a firm which incurs a loss this period will indeed need to carry forward that loss, but the value of this loss will be incremented in future years by an adjustment for interest, given the return that was available in the capital markets, mkay. That has the effect, for at least the firms that don't go out of business and thus lose the loss entirely, of making the loss more valuable. So those in one sense are the key elements that need to be put together on the business side, mkay....
That's as far as I could get before I also succumbed to the wild excitement, and started running around the room barking.
Does anyone on earth believe we'll actually get simplification? ¶ 7:40 PM
