Hardly. If the alcohol tax on a bottle of wine is €5 and the bottle is sold for €10, that’s a pretty steep price. If the bottle is sold for €100 or even more, it’s nothing.
But I understand that you were probably thinking about companies calculating spending & sales.
What? Tax is not a punishment. If a company finds that they can poison the environment and release PFAS into a local stream, but that they will be charged $12000 if they’re caught, then all they have learned is that, for the potential price of $12000, they can purchase the right to not have to follow environmental regulation (and they’ll only have to pay it if they’re caught!)
Hardly. If the alcohol tax on a bottle of wine is €5 and the bottle is sold for €10, that’s a pretty steep price. If the bottle is sold for €100 or even more, it’s nothing.
But I understand that you were probably thinking about companies calculating spending & sales.
What? Tax is not a punishment. If a company finds that they can poison the environment and release PFAS into a local stream, but that they will be charged $12000 if they’re caught, then all they have learned is that, for the potential price of $12000, they can purchase the right to not have to follow environmental regulation (and they’ll only have to pay it if they’re caught!)
Are you replying to the wrong person? I specifically pointed out that they were thinking about something else.