TSXV:ART.H - Post by User
Post by
goldtoeon Jan 23, 2010 12:26pm
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Post# 16711375
free market
free market
In a free market competion the right to be payed the going rate for what you produce is the principle and standard that must be maintained. Companys should receive the $$ amount that the company produces and sells at the going rate for export.. whether it be $65/barrel or $100/ barrel.
Now how Baghdad and the KRG get their revenue from oil is up to them. In Canada and the US we work on an employer and an employee tax rate. The majority of revenues that Iraq receives is obviously from the sale of oil.
There should be a federal tax and a provincial tax (KRG) that is levied against every business and that includes oil producers and explorco's. A system where companys would pay a 20% federal tax and say a 5% provincial tax would seem reasonable. Normally governments collect income taxes on a floating scale.. the more you make the more you pay... some would like to see a flat tax of 15% levied against workers.
Anyways it looks like Baghdad wants to see all export revenues come to them and then they would divie out a certain percentage $$ amount to the KRG and then the oil companys would get their money for exports from the Kurdish government. It would be like Suncor in Canada receiving no money from their oil sales until it went to Ottawa first and then they would give Suncor a $$ amount based on some percentage. A company must be allowed to collect their own revenues and then make a tax or some percentage payment to the government. It's like the present system is totally backward.. the government wants the company's revenues and they want the company to except some small percentage of THEIR revenues. I don't get it i guess.
salute