Kitchen Table Economics

I Had No Idea: Did You Know That You Pay Corporate Income Taxes?

All taxes roll downhill. Just like labor costs and rent, the taxes businesses pay are included in the cost of every good and service we buy.

In order to stay in business, businesses have to include all of their costs, including taxes, in the prices of what they sell.

When the government raises taxes on businesses, they often have to raise prices on the goods and services you buy to cover those new costs.

So while raising corporate taxes might seem like an easy way to pay for more government spending, the real person stuck with the bill is you!

Watch a short video that explains how you end up paying for corporate taxes.