If you really want to help small business

[Moonglow]

Setting aside the fact that you don't know your ass from a hot rock and wouldn't know the ins and outs of tax law if your were beat over the head, I'll answer the question for the lurkers out there.

Capital equipment isn't written off 100% at point of purchase because it's considered an asset (depreciation is an assumed liability)....Even though through use it can be deemed worth less than the purchase price, it still has value as a serviceable and potentially salable item.

You don't get to deduct assets from your taxes.

Exactly.

In fact depreciation schedules are the bane of a small business.

If you really want to help small business get rid of the ridiculously long depreciation schedules and let businesses write off 100% of their expenditures on capital improvements in the year they are made.

This is exactly what I've been saying.

do you use the 5 year schedual?

 

[saveliberty]

The Democrats have a great game plan. Make more poor people and get them to vote Democrat.

 

[Skull Pilot]

Setting aside the fact that you don't know your ass from a hot rock and wouldn't know the ins and outs of tax law if your were beat over the head, I'll answer the question for the lurkers out there.

Capital equipment isn't written off 100% at point of purchase because it's considered an asset (depreciation is an assumed liability)....Even though through use it can be deemed worth less than the purchase price, it still has value as a serviceable and potentially salable item.

You don't get to deduct assets from your taxes.

Exactly.

In fact depreciation schedules are the bane of a small business.

If you really want to help small business get rid of the ridiculously long depreciation schedules and let businesses write off 100% of their expenditures on capital improvements in the year they are made.

This is exactly what I've been saying.

No in your OP you mentioned tax cuts.

A tax cut is not a depreciation schedule.

 

[saveliberty]

You don't grow your business by hiring people you don't need or by buying equipment you don't need.

And my business has averaged a 7% growth over the last 5 years because I don't hire more people than I need.

If you think that hiring people alone is going to grow a business you don't know shit about business.

Dude, instead of kneejerking read for comprehension. I think nothing of the sort.

So if you don't want to grow your business,

You are saying that if I don't want to hire people I don't need or buy equipment I don't need that I don't want to grow my business.

There can be no other interpretation of that statement given my original post.

Skull, how did you get so confused? Bigger is always better, I mean don't you want to be too big to fail?

 

[Ravi]

You don't grow your business by hiring people you don't need or by buying equipment you don't need.

And my business has averaged a 7% growth over the last 5 years because I don't hire more people than I need.

If you think that hiring people alone is going to grow a business you don't know shit about business.

Dude, instead of kneejerking read for comprehension. I think nothing of the sort.

So if you don't want to grow your business,

You are saying that if I don't want to hire people I don't need or buy equipment I don't need that I don't want to grow my business.

There can be no other interpretation of that statement given my original post.

I was referring to you not buying equipment. I don't know what your business is, but the more equipment we have, the more money we make (up unto a point, of course). So not buying more would keep growth stagnant.

 

[manifold]

@ Skull Pilot's backpedaling after inadvertently agreeing with Ravi.

****'n priceless!

 

[Ravi]

Exactly.

In fact depreciation schedules are the bane of a small business.

If you really want to help small business get rid of the ridiculously long depreciation schedules and let businesses write off 100% of their expenditures on capital improvements in the year they are made.

This is exactly what I've been saying.

No in your OP you mentioned tax cuts.

A tax cut is not a depreciation schedule.

I'm saying get behind your reps and push this legislation. The important part of it to ME is expanding how much equipment you can write off in a given year.

 

[bripat9643]

Get your reps to approve this:

Democrats want to push tax cuts through the Senate for companies that hire new workers, give raises or buy major new equipment this year.

I would so give raises and buy more equipment if this passes.

Businesses hire new workers when they have more sales. No special tax break will change that.

 

[Ernie S.]

So please explain why this is the republicans fault. Was it republicans that changed the amount of business equipment that could be written off?

They are about to.

I didn't give Dubya kudos for much, but I do give him kudos for pushing for raising the amount a business could right off for equipment purchases.

No, Republicans want to make the Bush tax cuts permanent. It would be Obama and the Democrats that want to allow them to expire. You should place your blame where it is due.

Except that obama wants to let the cuts expire just for the wealthy. If they do go, I want them gone for everyone. Now, who do you suppose that will hurt most?

 

[bripat9643]

I am SO tired of this tax cut for person or group X while person or group Y harbors more of the burden thing.. this posturing and pandering is why we got in trouble in the first place

Yes.. it sounds good, but it basically comes down to the government picking winners and losers in all aspects of the game.. and that is not the job of government

Translation: This would be a great idea if republicans were pushing it.

Wrong, twinkle toes.

 

[saveliberty]

This is exactly what I've been saying.

No in your OP you mentioned tax cuts.

A tax cut is not a depreciation schedule.

I'm saying get behind your reps and push this legislation. The important part of it to ME is expanding how much equipment you can write off in a given year.

If you are consistently growing the depreciation schedule doesn't really hurt you at all. That is the preferred type of growth for most long term businesses.

 

[bripat9643]

I am SO tired of this tax cut for person or group X while person or group Y harbors more of the burden thing.. this posturing and pandering is why we got in trouble in the first place

Yes.. it sounds good, but it basically comes down to the government picking winners and losers in all aspects of the game.. and that is not the job of government

I am SO tired of this lets give tax cuts across the board and hope some trickles down as jobs

How about you earn a tax cut AFTER you have created jobs?

Where did govenment acquire the authority to determine what you have "earned?"

Libs just can't get over the notion that we are not government property.

The "trickle down" meme is such utter bullshit. Every dollar a business retains goes towards creating jobs. There's no "trickle down."

 

[bripat9643]

The one I'm concerned about most is the one for purchasing equipment. It dropped from us being able to write off $250,000 in capital purchases last year to $125,000 this year and much less next year.

It is very helpful to be able to write off your business expenses in the year they are incurred instead of depreciating them.

Why would YOU of all people be against that?

Who said we were?

 

[Ravi]

Exactly.

In fact depreciation schedules are the bane of a small business.

If you really want to help small business get rid of the ridiculously long depreciation schedules and let businesses write off 100% of their expenditures on capital improvements in the year they are made.

This is exactly what I've been saying.

do you use the 5 year schedual?

I don't know, we haven't had to depreciate for years. This year I will find out since I'm already over the current limit.

 

[Ravi]

No in your OP you mentioned tax cuts.

A tax cut is not a depreciation schedule.

I'm saying get behind your reps and push this legislation. The important part of it to ME is expanding how much equipment you can write off in a given year.

If you are consistently growing the depreciation schedule doesn't really hurt you at all. That is the preferred type of growth for most long term businesses.

That's true enough but it does hurt me in the short term and that keeps me from spending for what I want to spend for....I can't believe you cons are against this, frankly.

 

[saveliberty]

The good news is your business is growing Ravi. Continued success.

I've been in business for a relatively long time. Immediate deductions and credits favor upstart competitors. Most of which fail, but cause my business to have slow downs.

 

[Avorysuds]

I am SO tired of this tax cut for person or group X while person or group Y harbors more of the burden thing.. this posturing and pandering is why we got in trouble in the first place

Yes.. it sounds good, but it basically comes down to the government picking winners and losers in all aspects of the game.. and that is not the job of government

I am SO tired of this lets give tax cuts across the board and hope some trickles down as jobs

How about you earn a tax cut AFTER you have created jobs?

RW, because you’re one of the boards idiots let me help you out, not that it will do any good.

A “tax credit” to buy equipment or hire new employees has short term gains with long term losses.

Let’s say you’re an idiot business person, and to add a single employee means you pay an average of 40k a year, after all taxes and so on.
Now your business does not really have the demand for another employee so you don’t really make enough money to pay them, but it would help with the workload.
At this point this means you will either make less that year yourself or run into debt, either way you lose overall… This is after the tax credit.

Now here is where things get REALLY interesting. A whole 9 months later you are wondering, do I get another tax credit, because this employee has really raised my overhead… At this point if there is no tax credit you let the employee go.

This is based on a business person that for no reason at all but the sake of hiring a person just to hire them does that, jeopardizing the business’s life expectancy, for a tax credit.

Now, this program costs money from the Government, where did the funds come from? How much was the deficit added to?

Tax cuts and tax credits work entirely differently. But we have gone over this only a few hundred times so I’m confident that you are still left believing they are in all respects equal and “conservatives” simply don’t support this because a black Democrat wants to do it….

BTW, why do all Obamabots support tax credits (or cuts seeing they don’t know the difference) only when a Democrats does them? What happened to taxing so you can spend, getting the deficit under control and being responsible? Let me guess, Obama is not a Republican!!!! =D Did I nail it?

 

[Ravi]

The good news is your business is growing Ravi. Continued success.

I've been in business for a relatively long time. Immediate deductions and credits favor upstart competitors. Most of which fail, but cause my business to have slow downs.

Same to you!

Immediate deductions favor everyone. You don't want the government regulating business because it might benefit someone else, do you?

 

[Wiseacre]

Get your reps to approve this:

Democrats want to push tax cuts through the Senate for companies that hire new workers, give raises or buy major new equipment this year.

I would so give raises and buy more equipment if this passes.

I'm for it, although the devil is in the details. I read that the tax cut is 10%, and Harry Reid is trying to get a vote on it today. Not sure if there are upper limits, or any limits on qualifying for that matter, nor have I heard what the repubs are saying about it. Far as I know, they have not yet come out for or against it. Hard to see why they'd be against something like this, I'd be interested to see what they say.

I am however, generally opposed to picking winner and losers, somebody gets a tax cut but someone else does not. Why are we not trying to make the business climate more favorable for ALL businesses to be profitable? For instance, why the hell don't we simplify the tax code to make it less expensive to figure your taxes? We're adding new breaks and deductions instead of making it easier.

Does it seem odd that Obama and the dems want to raise the marginal rate AND the cap gains tax at the same time as this new tax cut? So we take money from one pocket and put some of it back in the other, what kind of sense is that? On it's face it's a good idea, but it smacks of political bullshit and indicates the incoherency of any kindof true plan to fix the economy.

 

[mudwhistle]

Why doesn't everyone just pay the same percentage in taxes ... companies and individuals? Oh that's right ... gotta keep it complicated so politicians can run on issues like this.

Why can't businesses right off all of there purchases when they make them instead of depreciating them?

So much hypocrisy from the cons, delicious.

Depreciation spreads the deduction over a longer period rather than having to take it all at once.

Boy.......that is so hypocritical.

Lol