Agree on both counts. The other shoe is public assistance so that remains to be seen. I’m not betting on good news. But on the other hand, if you get save an extra 800+ at tax time for someone making 40-50K, that’s a huge break.
Let’s also remember in a lot of urban areas like NYC and LA, you can be making close to 6 figures (or more) and still be strapped and “middle class” due to expenses.
Finally, let’s also remember that there are A LOT of small business owners that are “visible” to Uncle Sam as having top of line incomes in the 200K - 500K+ range…but they only take home a middle class income after all the payroll, expenses, insurance, and everything else. LLC and S Corp show your business income as your personal income…
Small business owners tend to get shit on by both hands: on the one hand they are officially part of the “1%” by the top of line numbers, so people scream to “tax the rich their fair share”…but they don’t get to take home that pay because it’s invested in the business so many of them live middle class lives, with middle class worries.
I have lived it. Yuck. Read The Cashflow Quadrant by Robert Kyosaki. In it he defines a business as a system for generating cash flow. He defines the four quadrants as E, S, B, I.
Employees work for the system.
Small business owners ARE the system (it can’t run without them).
Big business owners build the system and delegate (it can run without them).
Investors own the system.
He makes a pretty good case that for taxes, quality of life, return on investment, etc… the small business owner is the worst option.
So getting a cushy 6 figure inflation adjusted government job that has a tremendous benefits and retirement package, heretofore a zero chance of downsizing, very little true productivity or measure thereof, and zero capital investment (along with the employer paying 1/2 of the FICA taxes) is a pretty nice gig.
As I have said to Pfury, the recent G20 experience for reduced corporate tax typically isn’t a massive shortfall in receipts. In the UK they were higher after the drop in real terms.
I’ll await the receipts from tax year 2019 to say this definitively though.
Do you know if this graph factors in the change in the state income tax deduction? I’m suspecting not, last I checked many of us in the higher taxed states(which is most of the high income earners) will not see any significant change at the higher brackets.
Pence is supreme ass kisser. My guess is hes getting ready to part those ass cheex like the red sea then dive in & give Trump the best rusty trombone this side of San Francisco
It wont make big diff to most of us even rich dudes. Where its a big break is on corporations. Assuming they take break and invest in American workers and not just take break and keep enjoying cheaper labor in less developed areas. Im sure they will global faceless corps have big hearts. Also blockbuster video is coming back
In a nutshell, yup. While everybody is bloviating about what he said or what stupid thing he said on twitter, quietly and quickly many of the things I have wanted to get done are getting done. And I will endure Trump to get them, because I know the pendulum will swing back, but once these things are law, they are very difficult to undo, especially if the judiciary is sympathetic to the side that made the laws.
The one smart thing that Trump did that Obama did not was to knock everything back into congress’s court. Taxes, get it done. DACA, go make an immigration law. Oil drilling, make it accessible, etc.
Trump is either a genius or a lucky idiot. I am guessing the latter, but I will take luck.He acts more like a second term president than a first. We still got 3 years to know if that will unseat him in 2020 or not.
The sky is not falling. And the hysteria of it all is beginning to sound like Chicken Little. Trump will serve his term, hoping otherwise is a fools wish at this point. If he ain’t been got by now, I see little that will unseat him. Depending on what crisis lies ahead around 2020 will determine if he gets a second term. If I somehow get everything I want, I won’t care whose the president come January 2021.
Actually, it might. The reason I say that, is in the past, tax cuts with globalization and the global treaties that allowed jobs to go overseas, we were not the big benefactors in the trickle-down effect. It happened, just not here. It was a boon for India. However, with the focus on domestics and the potential punishments of sending jobs overseas, plus the removal of stifling regulations that made doing business here too expensive, it might just work. It’s becoming more attractive to do your work here rather than overseas. Plus it eliminates all the issues with international transport.
We’ll have to see, but the tax break plus all the other considerations done pre-tax break, deregulation, ‘merica first’, then add tax break should open avenues of business here… At least in theory it sounds good.
Double thumbs up for that one. For those advocating increasing taxes, I always prefer leading by example. You gladly pay more, then I will begrudgingly pay more.
Go to Venezuela and see how it turned out when they started ‘taxing the rich’. Most of them, who could, left. The rest wait in the same bread lines everybody else does. When you make 40,000 bolivars a month and the ratio is 100,000 bolivars to $1, it turned out bad for everybody. The poor became desperate and the rich high-tailed it out of there.
The Robin Hood approach is what it was based on, but it ruined a country.
When I was there the hills were filled with Colombian shanty towns built on very shaky mountains. Now the traffic goes the other way. People are escaping Venezuela for the promise of a new start in Columbia. That’s how bad it is in Venezuela, they are taking their chances in Columbia…
We’ve been taxing the rich for years, and it’s worked just fine? We taxed the rich and have been since the dawn of US taxes. Not sure how you think it doesn’t work.
There are a multitude of things that had a much much much larger impact on ruining Venezuela apart from “taxing the rich.” Acting like taxing the rich was anywhere near a main driving force is just silly. You should know this lol.
