gnu-misc-discuss
[Top][All Lists]
Advanced

[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

Re: Microsoft & Intel get massive tax breaks


From: thad01
Subject: Re: Microsoft & Intel get massive tax breaks
Date: Tue, 12 Apr 2005 18:48:33 +0000 (UTC)
User-agent: tin/1.6.2-20030910 ("Pabbay") (UNIX) (Linux/2.6.10-1.770_FC3smp (x86_64))

In comp.os.linux.advocacy rapskat <address@hidden> wrote:
> 
> Of course, such is the way things work.  I try to stay away from political
> subjects because they are so inflammatory, but the tax situation in this
> country is downright oppressive!

I'll grant you that our tax system is overly complex, but the amount
we pay in taxes is still relatively low compared to most developed
nations.

> Try running a legit business without any handouts, it's damned near
> impossible! Even if you are making a healthy profit, by the time you
> finish paying taxes, you hardly clear anything anyway.  And if you are
> incorporated, forget about it!  Uncle Slam has a finger in every pocket
> and a fist up your ass controlling you like a puppet.

Actually, it not just 'Uncle Sam' (by which I assume you mean the
federal government) but the addition of state and local taxes, license
fees, etc, that I find a hassle.  Federal withholdings, state withholdings,
FUTI, FICA, sales tax, property tax (state and local), corp report filing
fees... it is not even the dollar amount that is the problem for me... it
is the volume of the damn paperwork!  This is why accountants make good
money.

> So many small businesses in this country fail within the first couple
> years, not because they aren't successful and do well, but because of the
> ridiculous taxes that are extorted from them.

Actually, most small businesses fail because they do not properly
manage their accounts receivable, do not track their expenses
properly, or do not research their market before diving in (or some
combination of the three).  Granted, the government does not make
things easy with the tangled mess that is our tax system.  Many
small businesses are probably throwing away much of their profit
because they are not taking all of the tax deductions available to
them.  The best advice I can give to anyone starting a small 
business is: Hire a good accountant.  It will be worth every
penny.

I do agree that the regulatory regime in America is stacked in favor
of big corporations.  They have been very effective at lobbying to
create barriers to entry for small players in many markets.  The
current patent system is a prime example.  It was originally intended
to protect independent inventors but has been twisted into a tool
for big business to lock out competition.

Small business still has some advantages going for it, however.  It
tends to be more responsive and innovative than big business.  The
decision making process is not weighted down with so much
bureaucracy.  The need to keep investors and a board of directors
happy tends to push most large corporations toward the conservative
side of the spectrum.  It is easier to take risks when you are
accountable only to yourself.

You could take away all taxes, and most small businesses would 
probably still fail.  It is sad but true: sometimes having a dream
does not automatically translate into an ability to execute on it.

Cheers,

Thad Phetteplace



reply via email to

[Prev in Thread] Current Thread [Next in Thread]