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COMRADES
Apr 3, 2017

by LITERALLY AN ADMIN
Here's the problem though -

No tax: I spend $x to make a game with little upkeep required and make millions
Tax: I spend $x to make a game with little upkeep required and make millions, just not as much

If it is profitable to do, people will do it. And the barrier for entry here is very small, it's basically can you make a flash game.

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COMRADES
Apr 3, 2017

by LITERALLY AN ADMIN

Arrhythmia posted:

You know taxes can be set like, arbitrarily high, right

Well just outlaw the practice you're trying to tax away then?

COMRADES
Apr 3, 2017

by LITERALLY AN ADMIN

Magius1337est posted:

it gets rid of those "spend $5 to get 5 more moves" games

It doesn't though - like say right now there is 0 tax. You spend $5, I get $5.

If you do a 90% tax, I'm still getting $0.50 so why not? The name of the game is volume anyway.

COMRADES
Apr 3, 2017

by LITERALLY AN ADMIN

ChickenHeart posted:

You underestimate how damaging a high tax on certain products can be. A tax would effectively push out a significant chunk of freemium game's target audience - minors with no income.

You assume it would result in a price increase instead of companies just cutting their profit margins to still capture that audience.

I mean, you're right but the thing about this product is that you don't need to produce it in a factory and then ship it somewhere you just put it on a server and fix some bugs and let it ride. Farmville cost like, $300k to make. As long as it remains profitable to do something people will do it, even at razor margins, and the margins on these things can get pretty drat razor before you're not able to operate anymore.

I mean whatever tax it I'm just saying if the point is to eliminate the behavior just do that instead of trying a tax end run around it idk.

COMRADES fucked around with this message at 03:24 on Dec 7, 2017

COMRADES
Apr 3, 2017

by LITERALLY AN ADMIN

ChickenHeart posted:

It's no silver bullet, but it would put them in a world of hurt.

Yeah fair enough. It might also indicate to companies that society finds this stuff lovely and if they keep pushing the envelope there will probably be harsher penalties if not outright bans so better not do that.

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