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Originally Posted by caballo  Just because you pull down 250k a year in a small business doesn't mean you NET 250K a year. Obama wants his tax to take effect on Gross receipts iirc. That means if a business owner grosses $250, 000.00 a year but only nets a 30k profit he is FUBAR under Obama's plan...
FUBAR for us is SNAFU for the gubment. |
Quote:
Originally Posted by caballo You don't get it. People who have an INCOME of 250k are WAY different that Small Business Owners who gross 250K. And MOST SBO are not a "priviledged few", but even if they were, who are you to judge in this way?
Seriously, you've always come across as a cool head when it comes to stuff like this, but that post is about as school yard as they come lathered with jealousy and dare I say overtones of hatred. Total shock, coming from you... |
Quote:
Originally Posted by Reimann Ahem...
From the original article:
The company only brings in $250,000 a year, not him personally. That's a small company. |
I may be incorrect here - I searched for a bit trying to make sure I had the facts right. Correct me if I'm wrong.
I see nothing in the tax plan that speaks towards gross business earnings being taxed. The only thing I see is the 6% payroll tax on families that make 250+ or individuals that make 200+.
Even if this did apply to businesses, as we all know, they are taxed on Net Income, not Gross Income.
Anyone who has 'worked their hands to the bone' for their business, and put in hours of hardwork, will do a couple hours of research or will hire an accountant to make the necessary entries to lower his/her net income.
For example:
"an owner can write off any expenses s/he makes into employee health care plan. An employer can also write off 15% up to $45,000 if the owner opens up a Keogh or SEP IRA account. Additionally, the company can choose to offer the account to employees and write off anything the company puts in for employees in addition to the 15%/$45,000. Even if a company makes over $250,000 net after doing these things,there are many ways to reduce their taxes and net income."
Next, how many sole proprietorship small businesses are there making over $250,000 net income? Probably not many, right? Probably less than the 2% of all small businesses that make over $250,000.
So with 98% of small businesses making under 250,000 net income, I see an overblown situation.
McCain's 23m figure was
wrong