One of the first things candidate Joe Biden pledges to do when he gets into office is raise business taxes to 28%.
That scares me. I see people overjoyed by this tax hike and I wonder why they are so happy. Don't they know that if businesses have to dish out more money in taxes, it means there is less money to pay wages? Don't they realize they are not going to get a raise because of the decrease in available funds? Don't they know that if it costs too much to do business in the United States, then businesses will go elsewhere and take their jobs with them? So, now where will they work? The Little Guys People think the tax hike is only going to affect large corporations that seemingly have an abundance of revenue and could stand to pay more. But, Biden's proposed tax increase affects businesses all across the board. Think about the small mom and pop company that is barely making it in the local market. They are going to be affected just like all the other companies. I run a small boutique real estate company and I currently pay out high commission splits with a tiny bit left over for me to keep the business afloat and put a small amount of change in my pocket. A tax increase would cut into the amount of commissions I am able to offer to agents because there would be less money available to pay them, less money to keep the business running, and of course, factor in the fact that I like to get paid too. I am a business owner and I struggle to pay bills like everyone else. This tax increase scares me because it means that I will have less income. And, if I have less income, using mathematical equations and fair accounting, so will everyone else in the company and that bothers me because I enjoy being able to offer higher than average commission splits. So, when I see people jumping for joy because businesses will be taxed more, I look at it like this -- they are also jumping for joy that employees will be paid less, or at least, will not be getting a raise this year. Oh, and employees can kiss that little end-of-year bonus check good-by, because that money is now slated to pay the company's higher income tax rate. I'm just thinking out loud!
Today's Song: She Works Hard for the Money
Artist: Donna Summer Writers: Michael Omartian, Summer Donna Licensed to YouTube by: SME (on behalf of Epic/Legacy); UMPG Publishing, AdRev Publishing, CMRRA, ASCAP, ARESA, PEDL, Warner Chappell, LatinAutor - Warner Chappell, UNIAO BRASILEIRA DE EDITORAS DE MUSICA - UBEM, LatinAutor - UMPG, and 9 Music Rights Societies
3 Comments
Bill
10/7/2020 09:40:55 am
I have no problem with higher taxes for Amazon or Microsoft, but I also think the little companies, say under ten million in revenues, should be left alone. No one is going to convince me that large corporations can't afford a tax hike, not when execs are taking in millions in bonuses...but leave the hardworking little business owners alone....long-winded way of saying I agree with you....plus I think Amazon is a giant that needs to be watched very carefully,. 10/7/2020 09:44:59 am
Yes, Bill, I wish they could leave the little guys out of this. But, they are making it a general, across-the-board tax hike. It's not going to be pretty for me. And, by the way, Bill, thank you for your feedback.
Tricia
10/8/2020 05:16:36 am
Hello Marlene - I have pondered why some people are so overjoyed about tax increases to business and the conclusion I came to is that they are not looking at the big picture. All they see are the Jeff Bezo's and some of the other 1% of owners/CEOs that are millionaire and don't think about the companies who struggles from month to month to keep their businesses afloat. They don't see owners putting their own money to cover payroll when the business is losing money. All they see are what is shown on TV. Working for a company for the last twenty years I saw seven years of struggle just to pay payroll and rent and my boss pouring more and more money into the company. With the tax hike there will be no incentive for people to start new businesses. No one has stopped to think why so many small businesses totally closed their doors in a two month period during the pandemic if they were making a lot of money. I think every high school student needs to take a couple economics courses before graduating :-). These are just my two cents! - Have a wonderful day! Leave a Reply. |
Marlene Bertrand
AuthorI am generally a quiet person, but at times, my thoughts run deep and wild. Most of the time, I keep my thoughts to myself, but sometimes, I feel the need to shout it out! These are just my thoughts and opinions, which may or may not be the same as yours. Archives
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