Geithner: Taxes on ‘Small Business’ Must Rise So Government Doesn’t ‘Shrink’

[Annie]

I have no beef with cutting spending. It has to be done. At the same time, revenue must be increased. If either side would seriously discuss doing both, maybe something would get done. Instead, the Dems refuse to even put forth any real spending cuts, and the Republicans insist that tax increases are off the board. Of course the Republicans want to reduce taxes even further which is completely absurd considering how low the rates are currently. Honestly, I'm sick of both sides, because it seems that all everyone wants to do is stick by their guns so that nothing gets done.

Here is the process I want to see.

1. Reduce spending.
2. Simplify the tax code.
3. Expand the tax base.
4. Vote separately on every bit of spending.
5. Prove that tax increases are needed to provide the bare bones of government services.

Items 2 and 3 will increase the revenue stream. After we get a government that only does what it needs to do, not what people want it to, we can talk about tax increases.

So we should end Medicare, Medicaid, Social Security, and every other program out there. The only thing government should do is pay for our defense. Is this what you truly believe? If the majority of the people want government to support certain programs, should the government then not do so?

They should phase out the programs you listed. The primary job of the federal government should be defense and maintaining the borders. They have plenty of other functions as well: regulations of interstate commerce being the big one. Obviously involved with this are departments like FAA, ICC, etc. Not small, indeed still would overwhelm state powers. But limits? Yes, it's past time.

They shouldn't be in education, health in the day-to-day aspects though as a data gathering and immediate response team there needs to be the CDC. Sale of cough medicines by age? Not so much-the states can and do handle such.

Forcing pics on cigarette packages, making up lunch menus, not really a fed responsibility.

 

[GoneBezerk]

The idiots in charge are trying to destroy our capitialist system and our political system in the end, to inact socialism across the board. Nobody in their right mind continues to attack businesses in a bad economy and spend like crazy unless they are doing it on purpose.

You don't put millions on the welfare rolls via Obamacare when we're already out of money unless you are trying to bring down the medical system.

Finally, you don't make it easier for illegals to keep coming here and try to make them legal unless you are trying to implode the entire system in the end. The USA doesn't need millions of uneducated, underskilled workers being allowed to be "Americans" and given access to our piggy banks.

If Obama is re-elected, we are doomed and I will consider moving out of this country for some place like Australia once I can retire from my current job....if I have a job.

 

[auditor0007]

The idiots in charge are trying to destroy our capitialist system and our political system in the end, to inact socialism across the board. Nobody in their right mind continues to attack businesses in a bad economy and spend like crazy unless they are doing it on purpose.

You don't put millions on the welfare rolls via Obamacare when we're already out of money unless you are trying to bring down the medical system.

Finally, you don't make it easier for illegals to keep coming here and try to make them legal unless you are trying to implode the entire system in the end. The USA doesn't need millions of uneducated, underskilled workers being allowed to be "Americans" and given access to our piggy banks.

If Obama is re-elected, we are doomed and I will consider moving out of this country for some place like Australia once I can retire from my current job....if I have a job.

Good choice to move to Australia since they have higher tax rates than the US and a form of universal healthcare.

 

[Quantum Windbag]

Really? You must have extremely low sales taxes then, because your taxes on wages are only 7.65% of payroll and that is if everyone is under the $106,800. Please don't tell me you are including your employee's tax withholding as taxes that you have to pay. Those are taxes your employees must pay on their earnings and do not effect you other than the fact that you must withhold a certain amount from their paycheck for them and make the payment for them. It's not your money once you have paid them.

Why don't you run a business and try telling the employees that they are responsible for paying their own taxes sometime. How long do you think it will take for the IRS to come knocking at your door and remind you that you are supposed to withhold employee taxes from their pay?

Did you also forget about state, and sometimes city, income taxes?

You are obviously missing the point. And yes, I do pay these taxes for my employees, but it isn't my money; it's theirs. The same goes for sales taxes, which I do not have in my business. Business owners collect sales taxes from customers and make the payments to the government. It isn't the business owners money and it never was. They are just making the payment.

If you want to discuss how making those payments adds costs to the business, then you have a point, but in truth, that amount is fairly small. However, saying that you have to pay all this money in taxes is extremely misleading, because you are just the middle man who collects the taxes from either your employees or customers and then pays the taxes to the government. Other than your share of FICA taxes, these are not monies coming out of your profit margin.

I realized that, which is why I edited my post after I had time to think. I will, however, point out that, depending on your business model, that cost can be higher, especially with the IRS trying to force people who are traditionally considered to be sub contractors into a employee status in order to collect more taxes.

Did you know that they tax you at a higher rate if you work as a day laborer.

 

[GoneBezerk]

But they also don't have millions of illegals flowing into their system for free stuff like the USA.

If Obama turns the USA into a socialist system, the country will not survive...we're talking civil war in the end after years of a Great Depression. This is more than high taxes and so-called free healthcare, we're talking basic functions of society.

Australia is all by itself in the ocean far from illegals over-running their system. They do intercept illegals from Asian countries, but the water helps their efforts.

The idiots in charge are trying to destroy our capitialist system and our political system in the end, to inact socialism across the board. Nobody in their right mind continues to attack businesses in a bad economy and spend like crazy unless they are doing it on purpose.

You don't put millions on the welfare rolls via Obamacare when we're already out of money unless you are trying to bring down the medical system.

Finally, you don't make it easier for illegals to keep coming here and try to make them legal unless you are trying to implode the entire system in the end. The USA doesn't need millions of uneducated, underskilled workers being allowed to be "Americans" and given access to our piggy banks.

If Obama is re-elected, we are doomed and I will consider moving out of this country for some place like Australia once I can retire from my current job....if I have a job.

Good choice to move to Australia since they have higher tax rates than the US and a form of universal healthcare.

 

[Quantum Windbag]

I have no beef with cutting spending. It has to be done. At the same time, revenue must be increased. If either side would seriously discuss doing both, maybe something would get done. Instead, the Dems refuse to even put forth any real spending cuts, and the Republicans insist that tax increases are off the board. Of course the Republicans want to reduce taxes even further which is completely absurd considering how low the rates are currently. Honestly, I'm sick of both sides, because it seems that all everyone wants to do is stick by their guns so that nothing gets done.

Here is the process I want to see.

1. Reduce spending.
2. Simplify the tax code.
3. Expand the tax base.
4. Vote separately on every bit of spending.
5. Prove that tax increases are needed to provide the bare bones of government services.

Items 2 and 3 will increase the revenue stream. After we get a government that only does what it needs to do, not what people want it to, we can talk about tax increases.

So we should end Medicare, Medicaid, Social Security, and every other program out there. The only thing government should do is pay for our defense. Is this what you truly believe? If the majority of the people want government to support certain programs, should the government then not do so?

Do I believe that?

Yes. Now ask me if I expect it to happen. I am willing to accept that some things are beyond the power of the government to change if you are willing to change everything else. I will, however, argue that we need to revamp SS and Medicare so that they are viable over the long term.

The majority of people should not be able to force the minority to pay for things just because they want it. The federal government should be strong, but limited. It should not be able to start doing things just because some poll says that most people support it. Let the states take up the little social experiments that people want to try.

 

[AmericanFirst]

When one of them accidentally reveals the true agenda, they all try to ignore it, hoping that people won't pay attention.

The left wouldn't know the truth if it slaped them upside their heads.

 

[SwingVoter]

this is intolerable, a tax cheat telling everyone they need to pay more taxes, what's next, Tony Soprano advocating stricter sentencing for mobsters?

 

[saveliberty]

Really? You must have extremely low sales taxes then, because your taxes on wages are only 7.65% of payroll and that is if everyone is under the $106,800. Please don't tell me you are including your employee's tax withholding as taxes that you have to pay. Those are taxes your employees must pay on their earnings and do not effect you other than the fact that you must withhold a certain amount from their paycheck for them and make the payment for them. It's not your money once you have paid them.

Why don't you run a business and try telling the employees that they are responsible for paying their own taxes sometime. How long do you think it will take for the IRS to come knocking at your door and remind you that you are supposed to withhold employee taxes from their pay?

Did you also forget about state, and sometimes city, income taxes?

You are obviously missing the point. And yes, I do pay these taxes for my employees, but it isn't my money; it's theirs. The same goes for sales taxes, which I do not have in my business. Business owners collect sales taxes from customers and make the payments to the government. It isn't the business owners money and it never was. They are just making the payment.

If you want to discuss how making those payments adds costs to the business, then you have a point, but in truth, that amount is fairly small. However, saying that you have to pay all this money in taxes is extremely misleading, because you are just the middle man who collects the taxes from either your employees or customers and then pays the taxes to the government. Other than your share of FICA taxes, these are not monies coming out of your profit margin.

6.2% Social Security; 1.45% Medicare; Federal Unempolyment Insurance; State Unemployment Insurance; Worker's Compensation Insurance; Equipment for the employee to use; Building maintenance and cost of the building; additional property tax on that property; training; cost of lost materials and productivity from emplyee errors; any additional benefits. You have no clue about running a business.

 

[hortysir]

The idiots in charge are trying to destroy our capitialist system and our political system in the end, to inact socialism across the board. Nobody in their right mind continues to attack businesses in a bad economy and spend like crazy unless they are doing it on purpose.

You don't put millions on the welfare rolls via Obamacare when we're already out of money unless you are trying to bring down the medical system.

Finally, you don't make it easier for illegals to keep coming here and try to make them legal unless you are trying to implode the entire system in the end. The USA doesn't need millions of uneducated, underskilled workers being allowed to be "Americans" and given access to our piggy banks.

If Obama is re-elected, we are doomed and I will consider moving out of this country for some place like Australia once I can retire from my current job....if I have a job.

2 words:

Cloward-Piven

 

[xsited1]

Geithner: Taxes on ‘Small Business’ Must Rise So Government Doesn’t ‘Shrink’

Great. I work for a small business and like most of them in America, our EBITDA is down from last year. Guess what? No raises, bonuses or new hires. And this idiot thinks it's a good idea to raise taxes. It's only going to get worse. Obama is going to lose the election by the biggest margin in history.

I wouldn't be so sure.
Every single American who is getting something for nothing wants Obama to remain in office.
Every college student who is getting a free education because their parents divorced and chose to save nothing for education - wants Obama to stay in office.
A lot of folks who have been receiving unemployment for over a year - wants Obama to stay in office.
If your native language is Spanish - you probably want Obama to stay in office.
If you are black - overwhelmingly you want Obama to stay in office.

Basically, every non-productive person in the United States, every wealth-envy American will vote for Obama...period.
Every person who thinks that a man/woman who worked his or her fingers to the bone, who took great risk in building a business should be forced to have his income limited and have the government take the rest - wants Obama to stay in office.
And, unfortunately, that is a LOT of people.

Sadly, you are correct.

 

[Big Fitz]

And this in a nutshell is why Obamanomics is an Epic Job Destroying Fail:

Treasury Secretary Timothy Geithner told the House Small Business Committee on Wednesday that the Obama administration believes taxes on small business must increase so the administration does not have to “shrink the overall size of government programs.”

The administration’s plan to raise the tax rate on small businesses is part of its plan to raise taxes on all Americans who make more than $250,000 per year—including businesses that file taxes the same way individuals and families do.

n came in an exchange with first-term Rep. Renee Ellmers (R.-N.C.). Ellmers, a nurse, decided to run for the U.S. House of Representatives in 2010 after she became active in the grass-roots opposition to President Barack Obama’s proposed health-care reform plan in 2009.

“Overwhelmingly, the businesses back home and across the country continue to tell us that regulation, lack of access to capital, taxation, fear of taxation, and just the overwhelming uncertainties that our businesses face is keeping them from hiring,” Ellmers told Geithner. “They just simply cannot.”

She then challenged Geithner on the administration’s tax plan.

“Looking into the future, you are supporting the idea of taxation, increasing taxes on those who make $250,000 or more. Those are our business owners,” said Ellmers.

Geithner initially responded by saying that the administration’s planned tax increase would hit “three percent of your small businesses.”

Ellmers then said: “Sixty-four percent of jobs that are created in this country are for small business.”

Geithner conceded the point, but then suggested the administration’s planned tax increase on small businesses would be “good for growth.”

“No, that's right. I agree with that,” said Geithner. “But just to put it in perspective, it's important to recognize why are we doing this. You know, our deficits are 10 percent of GDP, higher than they've been since any time in the postwar period really. We have a big hole to dig out of, and we have to figure out how to do that in a way that's balanced, good for growth, fair to people as a whole.”

Geithner, continuing, argued that if the administration did not extract a trillion dollars in new revenue from its plan to increase taxes on people earning more than $250,000, including small businesses, the government would in effect “finance” what he called a “tax benefit” for those people....

Geithner: Taxes on

The golden goose is not yet dead, therefore we must strangle harder lest the goose dinner be delayed any longer.

How do you want YOUR goose to be cooked?

 

[Big Fitz]

The idiots in charge are trying to destroy our capitialist system and our political system in the end, to inact socialism across the board. Nobody in their right mind continues to attack businesses in a bad economy and spend like crazy unless they are doing it on purpose.

You don't put millions on the welfare rolls via Obamacare when we're already out of money unless you are trying to bring down the medical system.

Finally, you don't make it easier for illegals to keep coming here and try to make them legal unless you are trying to implode the entire system in the end. The USA doesn't need millions of uneducated, underskilled workers being allowed to be "Americans" and given access to our piggy banks.

If Obama is re-elected, we are doomed and I will consider moving out of this country for some place like Australia once I can retire from my current job....if I have a job.

2 words:

Cloward-Piven

Oh but that's just crazyman Beck's personal boogyman! Those two people never existed and never put forth any sort of strategy that the left is currently implementing.

 

[saveliberty]

What happens in my business is my competitors drop off the radar and work for cash under the table. Then they can also get around immigration laws with their employees. Makes it hard to follow all the rules and reporting and stay competitive and profitable.

 

[oreo]

And this in a nutshell is why Obamanomics is an Epic Job Destroying Fail:

Treasury Secretary Timothy Geithner told the House Small Business Committee on Wednesday that the Obama administration believes taxes on small business must increase so the administration does not have to “shrink the overall size of government programs.”

The administration’s plan to raise the tax rate on small businesses is part of its plan to raise taxes on all Americans who make more than $250,000 per year—including businesses that file taxes the same way individuals and families do.

n came in an exchange with first-term Rep. Renee Ellmers (R.-N.C.). Ellmers, a nurse, decided to run for the U.S. House of Representatives in 2010 after she became active in the grass-roots opposition to President Barack Obama’s proposed health-care reform plan in 2009.

“Overwhelmingly, the businesses back home and across the country continue to tell us that regulation, lack of access to capital, taxation, fear of taxation, and just the overwhelming uncertainties that our businesses face is keeping them from hiring,” Ellmers told Geithner. “They just simply cannot.”

She then challenged Geithner on the administration’s tax plan.

“Looking into the future, you are supporting the idea of taxation, increasing taxes on those who make $250,000 or more. Those are our business owners,” said Ellmers.

Geithner initially responded by saying that the administration’s planned tax increase would hit “three percent of your small businesses.”

Ellmers then said: “Sixty-four percent of jobs that are created in this country are for small business.”

Geithner conceded the point, but then suggested the administration’s planned tax increase on small businesses would be “good for growth.”

“No, that's right. I agree with that,” said Geithner. “But just to put it in perspective, it's important to recognize why are we doing this. You know, our deficits are 10 percent of GDP, higher than they've been since any time in the postwar period really. We have a big hole to dig out of, and we have to figure out how to do that in a way that's balanced, good for growth, fair to people as a whole.”

Geithner, continuing, argued that if the administration did not extract a trillion dollars in new revenue from its plan to increase taxes on people earning more than $250,000, including small businesses, the government would in effect “finance” what he called a “tax benefit” for those people....

Geithner: Taxes on

The golden goose is not yet dead, therefore we must strangle harder lest the goose dinner be delayed any longer.

How do you want YOUR goose to be cooked?

"A liberal is typically concerned about how to distribute the golden eggs that the golden goose lays--while a conservative is typically concerned about the health of the golden goose."

And the Golden Goose has been plucked clean and this admininstration has got the water boiling.

 

[auditor0007]

But they also don't have millions of illegals flowing into their system for free stuff like the USA.

If Obama turns the USA into a socialist system, the country will not survive...we're talking civil war in the end after years of a Great Depression. This is more than high taxes and so-called free healthcare, we're talking basic functions of society.

Australia is all by itself in the ocean far from illegals over-running their system. They do intercept illegals from Asian countries, but the water helps their efforts.

The idiots in charge are trying to destroy our capitialist system and our political system in the end, to inact socialism across the board. Nobody in their right mind continues to attack businesses in a bad economy and spend like crazy unless they are doing it on purpose.

You don't put millions on the welfare rolls via Obamacare when we're already out of money unless you are trying to bring down the medical system.

Finally, you don't make it easier for illegals to keep coming here and try to make them legal unless you are trying to implode the entire system in the end. The USA doesn't need millions of uneducated, underskilled workers being allowed to be "Americans" and given access to our piggy banks.

If Obama is re-elected, we are doomed and I will consider moving out of this country for some place like Australia once I can retire from my current job....if I have a job.

Good choice to move to Australia since they have higher tax rates than the US and a form of universal healthcare.

Maybe we should seriously consider removing all the freebies to illegals. It really wouldn't be that difficult.

 

[auditor0007]

Why don't you run a business and try telling the employees that they are responsible for paying their own taxes sometime. How long do you think it will take for the IRS to come knocking at your door and remind you that you are supposed to withhold employee taxes from their pay?

Did you also forget about state, and sometimes city, income taxes?

You are obviously missing the point. And yes, I do pay these taxes for my employees, but it isn't my money; it's theirs. The same goes for sales taxes, which I do not have in my business. Business owners collect sales taxes from customers and make the payments to the government. It isn't the business owners money and it never was. They are just making the payment.

If you want to discuss how making those payments adds costs to the business, then you have a point, but in truth, that amount is fairly small. However, saying that you have to pay all this money in taxes is extremely misleading, because you are just the middle man who collects the taxes from either your employees or customers and then pays the taxes to the government. Other than your share of FICA taxes, these are not monies coming out of your profit margin.

6.2% Social Security; 1.45% Medicare; Federal Unempolyment Insurance; State Unemployment Insurance; Worker's Compensation Insurance; Equipment for the employee to use; Building maintenance and cost of the building; additional property tax on that property; training; cost of lost materials and productivity from emplyee errors; any additional benefits. You have no clue about running a business.

I guess I'm just a clueless employer then, lol.

 

[auditor0007]

What happens in my business is my competitors drop off the radar and work for cash under the table. Then they can also get around immigration laws with their employees. Makes it hard to follow all the rules and reporting and stay competitive and profitable.

Now there you have a legitimate beef.

 

[Antiderivative]

Geithner needs to be shipped off as well as the old Clintonites that Obama has surrounded himself with. These people are traitors to the American people.

 

[Big Fitz]

And this in a nutshell is why Obamanomics is an Epic Job Destroying Fail:

Treasury Secretary Timothy Geithner told the House Small Business Committee on Wednesday that the Obama administration believes taxes on small business must increase so the administration does not have to “shrink the overall size of government programs.”

The administration’s plan to raise the tax rate on small businesses is part of its plan to raise taxes on all Americans who make more than $250,000 per year—including businesses that file taxes the same way individuals and families do.

n came in an exchange with first-term Rep. Renee Ellmers (R.-N.C.). Ellmers, a nurse, decided to run for the U.S. House of Representatives in 2010 after she became active in the grass-roots opposition to President Barack Obama’s proposed health-care reform plan in 2009.

“Overwhelmingly, the businesses back home and across the country continue to tell us that regulation, lack of access to capital, taxation, fear of taxation, and just the overwhelming uncertainties that our businesses face is keeping them from hiring,” Ellmers told Geithner. “They just simply cannot.”

She then challenged Geithner on the administration’s tax plan.

“Looking into the future, you are supporting the idea of taxation, increasing taxes on those who make $250,000 or more. Those are our business owners,” said Ellmers.

Geithner initially responded by saying that the administration’s planned tax increase would hit “three percent of your small businesses.”

Ellmers then said: “Sixty-four percent of jobs that are created in this country are for small business.”

Geithner conceded the point, but then suggested the administration’s planned tax increase on small businesses would be “good for growth.”

“No, that's right. I agree with that,” said Geithner. “But just to put it in perspective, it's important to recognize why are we doing this. You know, our deficits are 10 percent of GDP, higher than they've been since any time in the postwar period really. We have a big hole to dig out of, and we have to figure out how to do that in a way that's balanced, good for growth, fair to people as a whole.”

Geithner, continuing, argued that if the administration did not extract a trillion dollars in new revenue from its plan to increase taxes on people earning more than $250,000, including small businesses, the government would in effect “finance” what he called a “tax benefit” for those people....

Geithner: Taxes on

The golden goose is not yet dead, therefore we must strangle harder lest the goose dinner be delayed any longer.

How do you want YOUR goose to be cooked?

"A liberal is typically concerned about how to distribute the golden eggs that the golden goose lays--while a conservative is typically concerned about the health of the golden goose."

And the Golden Goose has been plucked clean and this admininstration has got the water boiling.

True, and when there are more people than eggs, the liberal then 'encourages' (threatens) the goose to produce more or else! After that it's the old workplace motto:

The beatings will continue until morale improves (or you die).