It clearly shows how the tax system based on taking a cut from profits is totally leaky and should be abandoned. It only results in endless cat and mouse game of tax consultants (the big 4) finding loopholes in such tax systems against governments trying to plug the holes, just with much smaller budget and efficiency than the tax-evasion consulting armies.
There are other models of tax systems. Some are even not production and consumption based (you want to maximize production and consumption for growth, not stifle it with taxes). For example land taxation proposed by single-tax movement or monopoly based taxation in general. Ie. for providing a company the privilege to be a monopoly on a market, it needs to pay a fee to those guaranteeing such privileges, which is the state.
For example big pharma lobbied for its monopoly and now it is super hard for competitors to enter the market. Let these companies pay a monopoly tax for such privileges.
Other example. Somebody appropriates for himself a valuable piece of land with oil deposits. He prevents others from utilizing that land. Let him pay for having that exclusive rights of use, since clearly the government is providing private property related services (police, courts and army to guarantee his property) for him that others (non-owners) are not getting.
There are other models of tax systems. Some are even not production and consumption based (you want to maximize production and consumption for growth, not stifle it with taxes). For example land taxation proposed by single-tax movement or monopoly based taxation in general. Ie. for providing a company the privilege to be a monopoly on a market, it needs to pay a fee to those guaranteeing such privileges, which is the state.
For example big pharma lobbied for its monopoly and now it is super hard for competitors to enter the market. Let these companies pay a monopoly tax for such privileges.
Other example. Somebody appropriates for himself a valuable piece of land with oil deposits. He prevents others from utilizing that land. Let him pay for having that exclusive rights of use, since clearly the government is providing private property related services (police, courts and army to guarantee his property) for him that others (non-owners) are not getting.