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Old 04-18-2012, 12:33 PM  
MaDalton
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Quote:
Originally Posted by raymor View Post
I promise not to laugh at mine any more than you laugh at yours.



Have you ever hired people you can't pay? And kept them? Have you ever WANTED to hire someone, but the budget didn't allow for it? I sure have. We need more people to handle clients better, which you probably know if you are one. If you had an extra couple million in the budget each year, you would have hired more, right?

There's this thing called the velocity of money. Let's say you get Clonebox on a thousand servers, so we get $20,000 per month. If you tax that $20,000 at 40%, the government gets $8,000. On the other hand, if you tax it at 25%, the government gets $5,00 and we hire a guy who pays $1000 in taxes, so the government gets $6,000 and someone gets a job. He spends his paycheck someone, which pays someone else's paycheck, that's taxed and the government ends up with the same amount of money.

The difference is that eith a lower ra yt e sunstone gets a job PLUS you get better service, you tell people how great Clonebox is, and more money moves around being taxrd a little bit at each step. It's all about keeping money moving. With people buying, selling and hiring people are happy and the government gets to keep taxing that money every time it changes hands. If the government takes half the money to start with, it's not in the economy, being used to buy, sell, hire, and TAX.

In the 1990s money was moving around quickly, people were buying, selling, investing, hiring, building, etc. There wasn't a bunch of brand new money printed - the money was out in the economy moving from person to person. Removing money from.the flow is what kills an economy, as does scaring people into holding on to their money by passing tax laws a few months at a time and such rather than passing an annual budget.

oh, i am in the position right now that i would need to hire someone and i am not sure if i can afford it in the long run or not - but thats also a reason why i only employ freelancers nowadays.

but once again, you are not a good example. i totally agree with you. i also think that tax rates for small businesses could (should) be lower, it's not that i get aroused by paying taxes. and yes, i have also not invested in new equipment or employees in the past because i had to pay taxes. it sucks.

i am ONLY talking about people and companies who make profits (or income) of millions a year.

or can we at least agree that a Goldman Sachs CEO doesnt create one additional job whether he pays 25% or 30% income tax on HIS personal income of 20 million usd per year?

thats what i am talking about.

wasn't it Buffett that suggested a minimum of 30% for people like him? whats wrong with that?
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