Can someone explain to me how tax cuts "create jobs"?

I think states have the most right to the theory that if you cut taxes on a business, you MIGHT prevent it from moving out of state, or out of country. But usually you can't cut enough to make it worth it, and even if you do, you're losing that revenue. But at least a few workers might still get to buy a chinese toy from Xmart for their child at christmas.
hmmm..

That just about sums it up in a basic nutshell.

obama needs too start fining USA companies that have all their production outside of the USA, the fines alone from that will bring in tons of money back to us, and if the fines are high enough it will bring jobs back

Yes, a rework of the tax law is needed, but have you noticed that everyone always changes it to benefit just themselves and no-one else.

tax the rich how? Worse than they are right now? Just because they are wealthier than someone else? Where is the equality and justice in that type of logic? That would be akin to giving you a 5 day sentence for stealing a car and I got 20 years for the same crime based on our financial positions. Treat a dollar equally, no matter who earns it. It doesn't earn votes, but it's the only fair way to tax a population.

Agreed 100%. It also taxes visitors and illegals without prejudice whatsoever. If you use a service, you get taxed (this would include utilities, rent, money wiring services.... anything!!! The funny thing is, people go apeshit over something like this, but in the end, the tax wouldn't be all that different than what we have now if EVERYTHING was taxed.... something like 10-15% on sales and nothing else!!! No income tax, no death tax, no capital gains, no fuel tax (well the sale of the fuel, but no state and fed fuel/road taxes). This would require states and the fed to actually budget based on their receipts from the previous year though, and you know that ain't gonna happen.

Partial agreement here. Yes I believe that companies outsourcing beyond the US should be penalized, but at what level? So many directions that discussion could take.

Taxation on corporations should be identical to individuals as they are considered an "entity." Since I think we should eliminate income tax altogether, I would suggest the tax be no different than the sales/service tax above.... 10-15% on what they use/consume. No tax breaks, no nothing. But this would mean they are paying taxes on their employees services (not all that different than the 6.2% tax they pay for employment anyway). Cut the breaks for meals and supplies and depreciation and all that other bullshit. An individual can't get those breaks individually (only in the course of business and then with certain caveats) so why should a "entity" ?

Treat a dollar as a dollar. If someone wants to hoard theirs and never spend them... they will never get taxed (so unlikely it's just silly). Your dollar, my dollar, Jefe the illegal's dollar, George Soros' and Donald Trump's dollars, and a company's dollar should be treated the same.

And how nice it would be to have the IRS just reviewing your receipts to make sure the proper tax was collected, instead of dropping a 7500 page tax code in front of you and saying...... what, you didn't know the rules? Well you are fucked then!!!

just my

political suicide. Voters aren't the only ones with power at the polls.

There you go......pretty simple really.....

Trickel down doesn't work... those companies just use their tax savings to move operations elsewhere or decorate their office.

The best bang for the buck will come from infrastructure spending.... bottom line.

poor people spend a greater portion of their income, save less, so taxes on sales hurt them most.
And you say your not a republican.

right it not like that would cause a trade war with the foreign countries that would result in tarriff that would cost even more jobs.

PLEASE STOP QUOTING SHEMP

We're past that now. Yes, cutting taxes on people who will spend the money (read: low income people) does stimulate the economy.

Now can anyone explain to me how cutting capital gains taxes or cutting income taxes for wealthy small business owners "creates jobs"?

This is what republicans are arguing the stimulus bill should be about. Let's cut taxes for investors and small business owners because that will "create jobs"....I fail to see the correlation.
For whatever reason, the republicans are actually against the tax rebates to low income workers.

This thread is testimony that there are no C students in college economics.

The theory is that by cutting taxes for the rich they are encouraged to invest capital in business ventures that will help the job market and spur on the economy. It's not unreasonable.

However, in the current economic climate anyone saving money via tax breaks is more likely to stash that money in the bank, or under their mattress, rather than risk it investing.

The reason republicans are against the tax breaks for low income workers is because a large segment of them didn't have to pay taxes. They got a full refund due to their income level. Giving them a tax break on top of a full refund is like giving them free money. That's how I understand their argument.

Not only is the economic climate what it is, but we also live in a global economy...so you can cut taxes for the rich and they can invest their money, in China, or Russia, or Brazil or India etc.

If you want a guarantee that the money will be invested here, the government can keep that money (instead of cutting taxes) and invest it here in roads, bridges, high speed rail, broadband lines, etc etc etc.

That's their argument, but it's bullshit.
Those people pay payroll taxes. As a matter of fact, a majority of Americans pay more money in payroll tax than they do in income tax.
They may as well say these people don't deserve a rebate because they didn't pay capital gains tax or dividend tax or excise tax. Just because they're exempt from one certain kind of tax doesn't mean they don't pay a big share of their income in taxes.

And even if that weren't the case, isn't the purpose of this bill to stimulate the economy? Last I checked it wasn't a bill about making the tax system "more fair".

during the Bush admin there were lots of tax incentives (cuts).
For example if you bought a brand new airplane then you were allowed to write off nearly 50% of the value the first year, same deals on new technology (computers and such).
These type tax breaks stimulate economy and makes business thrive..
I am no fan of Bush but this is fact.

simple macroeconomics.. you're being to cynical and analytical to understand right now

tax cuts mean more money in people's pockets which means more spending which means more demand for "stuff" which equates to more people needed which means more jobs

The problem with that theory is it's never the "employee's" whom get the tax break. It's the employer and the rich.