But couldn't taxing assets create a problem of liquidity for some companies? For example a large manufacturing firm that is having a cash flow problem. Their assets may be massive, because capital equipment and land are so valuable, but their available cash may be limited. It may force them to borrow against their assets just to pay the taxman. But then what of a company like Facebook, who owns next to nothing, but is somehow "valuable". Does their market cap count as tax liability? Its an interesting idea that I've heard some commentators discuss, but it wouldn't be without difficulty.
I was talking about income tax on assets - most companies don't keep big assets on hand. People like MS and Oracle are notable exceptions. Plus that's why I suggested a billion. As for their cash flow issues: tough crap. Taxing me more causes a cash flow problem for me. And, FWIW, remember, you don't tax companies, you tax consumers. -C PS - Market cap and unissued stock are not assets, as I understand the term.