Revolutionary idea to save the economy?
 

Here is a crazy idea that I just thought of.
It's crazy because it's exactly what a lot people would not want to do.


Here it is :

1) Make the first 3 months of income for those newly hired off unemployment
exempt from unemployment income reporting.

2) Do the same for those coming off unemployment because they started a business.

3) Double Dutch Deductions : Employers currently employing 10 people or more
can deduct twice the normal deduction of each new hire as business expense if the new hires
during the year increases the staff by 10%. The employee must remain hired for 365 days
or more to qualify. New hires with income exceeding $35K do not qualify for this deduction.
(just made $35k up, haven't looked at it)

4) The government gets it's money back by taxing the income of the newly hired.

5) Maybe this can work for people getting off welfare too.


Explained :

Theoretically, the extra 3 months of unemployment these people will receive will
be expendable income. In other words, they can actually buy stuff with the money
instead of just paying another electric bill.

Paying electric bills and the like does not boost the economy the way that
retail sales does.

I say this is better than a "stimulus check" because those checks were just
used to pay bills that people had piled up during unemployment.

If they don't buy anything then they will still put the money in the banks.
Now the banks have money to loan.


-- The double dutch deduction is an incentive to hire and lowers company taxes.

-- The extended benefits are an incentive to try harder to find work.

-- The extra unemployment money is used to buy retail goods


Well, anyone think it could work?

Ron Paul is already running for President though...

smokey method...

sell one of the states , completely pay off the debt.

Fully fund schooling at every level. Train 50% of kids to be doctors..

Cap savings at 100 million

There's lots of good ideas etc. that would work... But a well rounded, thorough plan would involve spending money... And so nothing will get done because the republicans are stuck in the whole don't spend money mindset, so they can get elected, regardless of whether or not it brings down the country..

Or print money and pay with inflation...

In Australia your first $16,000 of income is completely exempt from tax. It's a great idea as it promotes increased work ethic.

+1 :thumbsup

Just sell Hawaii to Canada.

Not too bad and not too far off from some republican proposals. I'm curious about the minimum of ten employees. We have three employees. If we add another one or two, is that somehow less beneficial than if a large company hires those same people?

I'd actually liked to see more paperwork breaks for small businesses and to get rid of some of the exceptions that make small businesses pay taxes that large businesses don't. One thing that would help a lot if small businesses would be letting us file taxes yearly instead if four times per year. With federal taxes for times per year, state taxes fire times per year, local taxes twice, and sales taxes four times that's fourteen tax filings per year. That's a lot of wasted time and expense that's not helping the economy.

Of course Obama's answer was to make us take time to file 1099 forms for everyone - our web hosting, our electric company, the phone company, the office supply store, Fry's, anyone we paid. That doesn't make businesses more productive and help the economy when every purchase requires a tax form. What the hell does that have to do with health care anyway? (The 1099 requirement on all purchases is part of Obamacare.) Thank God the republicans reversed that earlier this year.

People open businesses or get jobs to better themselves, not to save a few tax dollars.

The underlying problem is always the same. America does not produce enough.

Then Government spends money, borrowed, the working people won't pay the bill for. Taking the borrowed money out of the economy will shrink the economy.

:1orglaugh

Most people would think they bettered themselves if they had all their tax
money returned and saved in the bank.

You are right.

The 10 employee requirement is there because it will be mostly the 3 employee
companies that will hire "Junior" who will never show up to work.

All the cheaters fucked it up for you. :1orglaugh


So you need to bust ass and get to where you have 11 employees so you
can double deduct for 8 employees. Now add that up. Do you feel like expanding now?

There are some good ideas in it.

Which is a lovely dream. That would become a nightmare if it happened. Try to imagine it if it happened.

They could also just lower the corporate tax rate to around 12% making it one of the lowest in the world and draw all the companies that have left the US for other countries back here as well as many other companies from other countries looking for a good place to do business with a lower tax rate.

60 minutes had a great piece of this. The CEO of Cisco said that all of the new stuff they are building is outside the US because of the corporate tax rate and that if they lowered it to be comparable to what the rest of the world has he would bring all that business back to the US and about 40 billion in taxable revenue with it.

That was tried.

Reagan's "Trickle Down Affect" is what that is.

It never happened. Coporations took the huge tax cuts and laid people off so they
could have infalted yearly earnings to push up their stock.

Sorry man, don't buy the bullshit from CEOs. They will register the company in
America to get the tax break but have the bulk of the work done outside the
country.

Yes high taxes do scare businesses offand the very rich.

I would imagine some of those overseas businesses went overseas for more reasons than corporate tax. It's just one part of running a business, available labor, cost of labor, property, etc. Far more important than Corporate taxes. Do Cisco have plants in India and other Third World countries?

I'm sure they do. He was saying that even when it comes to engineering facilities that they still pay higher salaries for they are working overseas because of the tax rate. Obviously there are other reasons, but it looks like out country is not helping them out as much as they could.

You are right, trickle down doesn't trickle very far. We could always lower the rate with a stipulation that you agree to bring a certain amount of your jobs back to this country. Still, even if it didn't create any new jobs and they just registered here for the lower tax rates those tax dollars could go to helping lower the deficit and get the nations debt back in order.

No!

I'm not revisting failed plans that were only conceived by the greedy.

We can start slapping penalties on companies operating outside the counrty
rather than bow to them.

no more customs and immigration cavity searches every 6 months :thumbsup

The way I am reading it the Reagan cuts lowered the corporate tax rate from 46% to 34% in 1986, but there were so many loopholes in the system companies were able to find ways around paying.

I'm not saying we just offer them the world, but if you penalize them won't they just leave the country completely? Then you start to get into a protectionist state of mind where you would have either tariff their products to the level that those companies couldn't sell them in the US and it would leave the US based companies to control the market or you would have to flat deny them access to our markets. That could open up a whole new can of worms.

I'm simply say we could offer a hybrid. Tell them they can have the lower tax rate so long as they agree to bring a certain percentage of there jobs to the US. This could give them incentive to bring jobs back to the US and give them a lower tax rate. You could also put in a provision that stated that the majority of new jobs the company created had to be in the US in order to maintain these rate. Give them a reason to want to come back, not a reason to leave.

Keyword is "loopholes".

They will be there again.

You're playing with an "American Fantasy" that people will act in "goodwill".......

while they slave trade themselves into prosperity and deny that it ever happened.

Do you think that by punishing these companies you will just aid in driving them further away and taking more and more jobs and money with them?

Dude fuck them!

Let them leave because who is going to buy their shit when we are tagging it
as highly over priced goods at the customs port?

We have the money, why do you keep trying to give them the power?

Because they have brain washed you for their own good.

If they leave to avoid taxes then tax the shit out of their goods.

Think about this : How much goods does the US export?

Not seeing a lot?

Then who are they selling to?

Fucking US!

Quit buying their shit if they leave.

The CEO of Cisco touches on the route causes of the financial problems so many Western Countries face.

The export of jobs and import of goods gap. If the only reason for that is Corporation tax, there must be pigs flying past my window.

I remember the time when if you bought a car, it was made in the country. In the UK we bought one made in Dagenham, Oxford, Birmingham or Liverpool. If an American bought a car it was highly likely it was made in Detroit. Today there's a high chance it's assembled in these countries and the parts made elsewhere.

Same goes for clothing, machines, and so many other goods. Today those goods are imported.

We were told that the modern industries would replace these old one. And Cisco are taking their business out of the US. So are IBM, Helwett Packard and many more. Go into a mall and count the number of places selling goods made inside the country. Do Microsoft manufacture the discs in the US or overseas?

Is an iPhone made in the US or China? And the list goes on.

To replace these lost jobs we had the financial sector. :Oh crap

The CEO of Cisco is a hypocrite. He takes jobs overseas, blames the Government, then ships those goods back to the US for sale.

"I'm not basing my production here because of the taxes. But sure as 12 make a dozen I'm selling here." :mad:

Is he saying he would move all these plants back to the US if corporation tax was lower. Or just wants it lower for what's left in the US? Until it's moved overseas.

http://www.cisco.com/web/siteassets/...ed=true#~tab-f

And some just swallow his BS as if it's gospel. :1orglaugh

Don't cut Corporation tax to get him back. Stop him selling in the US or tax his goods to make up for what he saved in taxes by moving overseas. Maybe extend it to other goods made by companies outside the US.

Yes they would all stop selling in the biggest market in the World.

There go those pigs again. :1orglaugh

In reality if the US sinks, they won't be selling many of their goods in the US any way.

They moved overseas to save money. Yet still sell in the US to make money. And some think that's a good system.

Those at the top and they tell the populations the open market is a good thing. For them its a great thing. Imposing import taxes, would have an effect. Other countries would impose import taxes on US goods.

If it's a Cisco plant in India getting taxed at the docks, the Indian Government might see that as a tax on Indian goods.

The easiest way is for you and millions like you to look at the label on the packets or brand to see where it's made. You might have a problem doing the shopping though.

It would be great to sell one country to European Union,so EU would be partly then in Usa too.

We need to play hardball and not be scared to do certain things.

We don't care about boycotts or tariffs being imposed by other countries
when we decide to bomb the shit out of people so why care now.

How about we stop wasting money.

For starters. Lets cut back on expenses to run DC. Cut everyones Salary by 10% for 1 year. Turn off some of the lights in rooms that are not used or at least put in motion sensors for them.

Charge for the people visiting the capital and other buildings. 1$ per person.

Cut back on the size and expense of EVERY Embassy across the world. The one in Rome is absurd. Its a Fucking Palace that has to be 250 or 300K sq feet or more.

And on and on.

It would be nice if the US was in such a powerful position. Great Britain used to be. If anyone tried to disagree with us we sent in the Army. Went to war with china when it tried to stop the opium trade. We were buying tea with opium.

The good old days.

I know you're joking but some might think you're not.

And the people who get their wages cut, spend less and that puts people on benefits. Great idea.

Cutting the expenses of Embassies is a good idea. America needs to stop trying to impress people overseas that it's a big powerful nation. When the truth is it's in hock up to the eyeballs and can hardly pay it's bills.

you should stop worrying about the crisis, world peace and other things that you can't fix no matter how hard you bitch on boards.

that's what i was thinking too... it makes zero sense for the US to have the 2nd highest corporate tax rate in the world...

The reason the West is in the shitter is easy to see. It's so simple I see it.

In 1965 when I started work there were jobs a plenty, the same in most Western Countries. These countries were largely self supporting, manufacturing goods for the home market and for export. Unemployment was an issue, we had a surplus of trade.

Today the picture has changed. Due only to the balance of trade. The West now imports too much and exports too little. Until that's fixed the problem remains.

There is one other option. Spend what you can afford to spend.

Don't fool yourself that it will not effect you. It will mean less money in the Western Economies. = Less money in your pockets.