Republicans LIE about the tax hike hurting small businesses

[Koios]

Okay, you're right. Everybody, go outside and destroy something that's not yours. It'll be good for the economy!

You know, you don't need to destroy anything to start spending more

And clearly, how I spend my money should be your decision...

Nope. Spend it; it'll move around and help your community to be more economically vibrant.

In fact, it would be more so, if tax burdens were not being shifted onto middle class via regressive state taxes, in lieu of higher FIT. And if workers were better-paid they too would add to the economic vibrance of your community, and make it much easier for your to open a sucessful small business, what with typical workers better able to buy your stuff.

In short, dump the rightie koolaid. Your addiction is fucking you over, too, and not just the rest of us.

 

[eflatminor]

You know, you don't need to destroy anything to start spending more

And clearly, how I spend my money should be your decision...

Nope. Spend it

Oh, sorry...YOU should be able to determine how I spend my money. Got it.

If only you could oversee all of us, what a wonderful world this would be...

 

[Uncensored2008]

Surprise -- and you won't learn it from Faux News. The left are not equating being rich with being evil.

No, you of the left love the rich. It's the middle class, the Bourgeoisie, whom you hate and work to destroy.

 

[Uncensored2008]

It's all over the map, since not all McDonald's franchises are equal. But if what the President urges passes, which it will, here's the extra tax the onwer will pay on his personal income from the business:

Takes home $250,000 / year: $0

Takes home $400,000 / year: ~$8,000 - $10,000 (increase in effective rate = 2.5%)

Takes home $550,000 / year: ~16,000 - $20,000 (increase in effective rate = 3.6%)

Takes home $1 million / year: ~$50,000 (increase in effective rate = 5%)

Not a picnic, but neither is it a deal buster, nor even close to that. And we have debt that needs paying down, which has to come from somewhere.

Welcome to the real world.

Last I checked, they tax GROSS income, not net (take home.)

Integrity on a leftist is like salt on a slug.

Standard Disclaimer: No offense to slugs intended by the above comparison.

 

[Koios]

It's all over the map, since not all McDonald's franchises are equal. But if what the President urges passes, which it will, here's the extra tax the onwer will pay on his personal income from the business:

Takes home $250,000 / year: $0

Takes home $400,000 / year: ~$8,000 - $10,000 (increase in effective rate = 2.5%)

Takes home $550,000 / year: ~16,000 - $20,000 (increase in effective rate = 3.6%)

Takes home $1 million / year: ~$50,000 (increase in effective rate = 5%)

Not a picnic, but neither is it a deal buster, nor even close to that. And we have debt that needs paying down, which has to come from somewhere.

Welcome to the real world.

Last I checked, they tax GROSS income, not net (take home.)

Integrity on a leftist is like salt on a slug.

Standard Disclaimer: No offense to slugs intended by the above comparison.

Where ya going with that? "Take home" was a bit off. It's actual gross profit that accrues as personal income, subject to a portion being taxable income? Sure; you're right. You got me.

Now then, anything of the essence of my post that you care to comment on?

 

[Koios]

And clearly, how I spend my money should be your decision...

Nope. Spend it

Oh, sorry...YOU should be able to determine how I spend my money. Got it.

If only you could oversee all of us, what a wonderful world this would be...

Nope. How is up to you. Buy a chainsaw, or some meth. Whatever you like. Either way, it gets around, since typical consumers are the epitome of "high monetary velocity."

 

[OohPooPahDoo]

John Boehner:
"In my view, raising taxes on the so-called top 2 percent, half of those taxpayers are small-business owners that pay their taxes through their personal income filing every year... you're not going to grow the economy if you raise the top 2 percent rates. It'll hurt small businesses, and it'll hurt our economy..."

But the truth is that a personal tax hike does NOT hurt the small business, because only the company profits are counted as the owner's income and are taxed accordingly -- not the whole revenue. So the tax hike only penalizes those appropriating more than 250,000 of their company revenue. It has no effect on the business solvency -- quite the opposite, it encourages the owner to spend more revenues on expanding their business.

So the question is not whether Boehner treats Americans as a bunch of illiterate fools -- he obviously does.

The question is whether he will get away with it -- again.


See also:
http://www.slate.com/articles/busin...are_not_affected_by_obama_tax_proposals_.html

If a "small" business can actually profit $250,000 a year then I'd say its a pretty damn profitable "small" business. Consider a business with a 10% margin - that would mean this "small" business would do $2,500,000 in sales annually. The value of such a "small business" would be roughly on the order of 5 million bucks.
Sorry but a business worth 5 million bucks isn't "small". I wouldn't call it "big" - but we have another word we can use - "medium"


When I think of "small" business I think of the guy who wakes up every morning to go run the kitchen and dining room of his own restaurant with the labor of his own hands - not a guy who goes to an office and oversees the operation of a half dozen restaurants.

 

[Contumacious]

Republicans LIE about the tax hike hurting small businesses

Yo Ili


1- Does it hurt individuals to learn a marketable skills and find a fucking job

2- Does it hurt politicians to stop invading every fucking country on the face of mother earth

3- Does it hurt parasites to continue demanding more welfare type handouts

Never mind what a tax hike will do to a small business until you own one.

.

 

[OohPooPahDoo]

Republicans LIE about the tax hike hurting small businesses

Yo Ili


1- Does it hurt individuals to learn a marketable skills and find a fucking job

2- Does it hurt politicians to stop invading every fucking country on the face of mother earth

3- Does it hurt parasites to continue demanding more welfare type handouts

Never mind what a tax hike will do to a small business until you own one.

.

I own the tiniest of businesses. A single rental unit. I can definitely appreciate how much work it is to own one rental unit - let alone the dozen or so one would need to make a living off it.

And last year - thanks to he bonus depreciation that Congress passed - I paid about 4k less in taxes than I otherwise would have.

 

[LordBrownTrout]

Tax increase will be passed on to consumer.

No. They never are. Products are priced to sell in pursuit of more profit, which translates to more net profit at every income level.

The only taxes that do affect net consumer prices, are the regressive sales taxes and fees at state level, which have risen sharply to compensate for lower payments back to states that have resulted from lower FIT taxes.

Completely false. I'll be raising the prices of my services as soon as the tax hikes occur. I'm not going to incur an increase without passing it on.

 

[OohPooPahDoo]

Tax increase will be passed on to consumer.

No. They never are. Products are priced to sell in pursuit of more profit, which translates to more net profit at every income level.

The only taxes that do affect net consumer prices, are the regressive sales taxes and fees at state level, which have risen sharply to compensate for lower payments back to states that have resulted from lower FIT taxes.

Completely false. I'll be raising the prices of my services as soon as the tax hikes occur. I'm not going to incur an increase without passing it on.

What if your competitors don't raise theirs as much as you do?

 

[LordBrownTrout]

John Boehner:
"In my view, raising taxes on the so-called top 2 percent, half of those taxpayers are small-business owners that pay their taxes through their personal income filing every year... you're not going to grow the economy if you raise the top 2 percent rates. It'll hurt small businesses, and it'll hurt our economy..."

But the truth is that a personal tax hike does NOT hurt the small business, because only the company profits are counted as the owner's income and are taxed accordingly -- not the whole revenue. So the tax hike only penalizes those appropriating more than 250,000 of their company revenue. It has no effect on the business solvency -- quite the opposite, it encourages the owner to spend more revenues on expanding their business.

So the question is not whether Boehner treats Americans as a bunch of illiterate fools -- he obviously does.

The question is whether he will get away with it -- again.


See also:
http://www.slate.com/articles/busin...are_not_affected_by_obama_tax_proposals_.html

If a "small" business can actually profit $250,000 a year then I'd say its a pretty damn profitable "small" business. Consider a business with a 10% margin - that would mean this "small" business would do $2,500,000 in sales annually. The value of such a "small business" would be roughly on the order of 5 million bucks.
Sorry but a business worth 5 million bucks isn't "small". I wouldn't call it "big" - but we have another word we can use - "medium"


When I think of "small" business I think of the guy who wakes up every morning to go run the kitchen and dining room of his own restaurant with the labor of his own hands - not a guy who goes to an office and oversees the operation of a half dozen restaurants.

A 5 million dollar business is small.

 

[LordBrownTrout]

No. They never are. Products are priced to sell in pursuit of more profit, which translates to more net profit at every income level.

The only taxes that do affect net consumer prices, are the regressive sales taxes and fees at state level, which have risen sharply to compensate for lower payments back to states that have resulted from lower FIT taxes.

Completely false. I'll be raising the prices of my services as soon as the tax hikes occur. I'm not going to incur an increase without passing it on.

What if your competitors don't raise theirs as much as you do?

They will but I still intend to offer a better service at a lower price.

 

[OohPooPahDoo]

John Boehner:
"In my view, raising taxes on the so-called top 2 percent, half of those taxpayers are small-business owners that pay their taxes through their personal income filing every year... you're not going to grow the economy if you raise the top 2 percent rates. It'll hurt small businesses, and it'll hurt our economy..."

But the truth is that a personal tax hike does NOT hurt the small business, because only the company profits are counted as the owner's income and are taxed accordingly -- not the whole revenue. So the tax hike only penalizes those appropriating more than 250,000 of their company revenue. It has no effect on the business solvency -- quite the opposite, it encourages the owner to spend more revenues on expanding their business.

So the question is not whether Boehner treats Americans as a bunch of illiterate fools -- he obviously does.

The question is whether he will get away with it -- again.


See also:
Small Business tax myths: Most firms are not affected by Obama tax proposals. - Slate Magazine

If a "small" business can actually profit $250,000 a year then I'd say its a pretty damn profitable "small" business. Consider a business with a 10% margin - that would mean this "small" business would do $2,500,000 in sales annually. The value of such a "small business" would be roughly on the order of 5 million bucks.
Sorry but a business worth 5 million bucks isn't "small". I wouldn't call it "big" - but we have another word we can use - "medium"


When I think of "small" business I think of the guy who wakes up every morning to go run the kitchen and dining room of his own restaurant with the labor of his own hands - not a guy who goes to an office and oversees the operation of a half dozen restaurants.

A 5 million dollar business is small.

The average income of a small business is 45k.


Small Business Owner Salary - CBsalary



A business which has an income of 250k is about 5 times bigger in terms of profit.


If you were to take a 4 foot midget and stand him next to a 20 ft tall person, would you say they were both small?



I realize the SBA has a definition that is different. They'd like to be able to make loans to more businesses without having to change their name to the 'Small and Medium Business" Association.

 

[Koios]

Tax increase will be passed on to consumer.

No. They never are. Products are priced to sell in pursuit of more profit, which translates to more net profit at every income level.

The only taxes that do affect net consumer prices, are the regressive sales taxes and fees at state level, which have risen sharply to compensate for lower payments back to states that have resulted from lower FIT taxes.

Completely false. I'll be raising the prices of my services as soon as the tax hikes occur. I'm not going to incur an increase without passing it on.

Good luck with that. Being that the economy is so rosy and shit, raising your prices is bound to be a windfall. Customers will be beating down your door, no doubt. Good thinking!

Where did you study business? School for the mentally challenged, perhaps?

 

[ilia25]

Last I checked, they tax GROSS income, not net (take home.)

Check again.

 

[ilia25]

Tax increase will be passed on to consumer.

No. They never are. Products are priced to sell in pursuit of more profit, which translates to more net profit at every income level.

The only taxes that do affect net consumer prices, are the regressive sales taxes and fees at state level, which have risen sharply to compensate for lower payments back to states that have resulted from lower FIT taxes.

Completely false. I'll be raising the prices of my services as soon as the tax hikes occur.

Then you will go out of business and taxes on the rich won't be your problem anymore

 

[LordBrownTrout]

No. They never are. Products are priced to sell in pursuit of more profit, which translates to more net profit at every income level.

The only taxes that do affect net consumer prices, are the regressive sales taxes and fees at state level, which have risen sharply to compensate for lower payments back to states that have resulted from lower FIT taxes.

Completely false. I'll be raising the prices of my services as soon as the tax hikes occur. I'm not going to incur an increase without passing it on.

Good luck with that. Being that the economy is so rosy and shit, raising your prices is bound to be a windfall. Customers will be beating down your door, no doubt. Good thinking!

Where did you study business? School for the mentally challenged, perhaps?

It's quite evident that you don't have a very firm grasp on economics or business practices. Theoretical axioms in the class room are just that. They are a basis but do not reflect the challenges that occur in the real world. I don't have a business degree but have sold two companies and am working on my third.

 

[Uncensored2008]

If a "small" business can actually profit $250,000 a year then I'd say its a pretty damn profitable "small" business.

$250K EBITDA is your idea of super profitable?

LOL

Consider a business with a 10% margin - that would mean this "small" business would do $2,500,000 in sales annually. The value of such a "small business" would be roughly on the order of 5 million bucks.
Sorry but a business worth 5 million bucks isn't "small". I wouldn't call it "big" - but we have another word we can use - "medium"

$2.5 million in gross revenue is a small business in any manner of thinking. Such a business would have 5 or less employees.

When I think of "small" business I think of the guy who wakes up every morning to go run the kitchen and dining room of his own restaurant with the labor of his own hands - not a guy who goes to an office and oversees the operation of a half dozen restaurants.

When you think of small business, you think of a pocket to pick.

 

[Koios]

Completely false. I'll be raising the prices of my services as soon as the tax hikes occur. I'm not going to incur an increase without passing it on.

Good luck with that. Being that the economy is so rosy and shit, raising your prices is bound to be a windfall. Customers will be beating down your door, no doubt. Good thinking!

Where did you study business? School for the mentally challenged, perhaps?

It's quite evident that you don't have a very firm grasp on economics or business practices. Theoretical axioms in the class room are just that. They are a basis but do not reflect the challenges that occur in the real world. I don't have a business degree but have sold two companies and am working on my third.

Then by all means, help me out:

What considerations come into play when price-positioning consumer products?

If you do not know what you tax liability will be at the end of the fiscal year, nor how many widgets you'll sell, how can you cost it in the product?

Why in the fuck burden your pricing model with guesstimated tax costs, at risk of diminished unit sales?

Ah fuckit, let me answer, pretending I have a little corner store: basically, I'm an idoit, but hope folks come in and buy stuff. If I was great business mind, I'd be pulling down the big bux working for a multi-national or sitting on the boards of corps. But I'm not, so I google (verb) it and find out that retail margin is 40% or so. Or I look at suggested retail, and take the reseller discount as my model for determining margin. Then I have an epiphany: $1.03 for candy bars is stupid. Make it 99 cents; I'll sell more.

Then, godwilling, I stay in business, and even have a nice profit (circa $80 grand or so). Then I think, I'm a genius, and ponder ways of getting more profit. God how I'd love to get it to $300 grand or even more. I could then brag about paying more tax than other make. Yippee for me!!!

(tip: taxes are what come after, if you're lucky)