Ayn, Neal and the world around me...

[namisgr]

Kneel.

[TupennyConan]

Kneel.

 

lol

[dover]

Kneel.

 

lol

 

Crusty Bunkers

[dover]

 

http://online.wsj.com/article/SB10000872396390443477104577553211912280818.html

 

Good article on the recovery vs. others we have had.

 

I said it two years ago and I say it now; short term tax policy does not work in driving the business cycle. I say this as a small business of 18 people. Short term policy has short term affects few of which are positive. My boss would hire more people if he had a solid grasp on what the tax code (his rate) would be like year to year. The short term extension of the tax rate was a failure in adding growth while being a true drain on future expansion. We are a small business and it tied or hands when we truly needed to expand.

 

Additionally, the Bush rebate tax was the same failure (and I declared it then as well), just a hair less in terms of execution. While returning property to the citizen is always good, again the short term windfall does nothing to set up the long term stability of the business cycle. Much like Cash for Clunkers; no one bought additional cars they just moved their buying schedule forward.

 

This country will wallow for years until real tax reform is completed. A flat tax or fairtax is our only hope combined with reducing spending.

 

 

 

[cheetah]

I really question the legitimacy of failing to expand an 18-person company because you fear what might happen to your taxes next year. If you have a legitimate opportunity to expand and fail to move on it because you might have to pay a little more in taxes on increased profits, I think your are just finding an excuse for timidity. 18 folks is a looooong way from getting caught up in Obamacare and there are many, many ways to avoid getting involved even if you exceed 50 employees. Not expanding because the economy sucks or the risk is too high is perfectly understandable. Not expanding because you might make a lot of money and have to pay a few percent more in taxes on it is overly dogmatic.

[TupennyConan]

I really question the legitimacy of failing to expand an 18-person company because you fear what might happen to your taxes next year. If you have a legitimate opportunity to expand and fail to move on it because you might have to pay a little more in taxes on increased profits, I think your are just finding an excuse for timidity. 18 folks is a looooong way from getting caught up in Obamacare and there are many, many ways to avoid getting involved even if you exceed 50 employees. Not expanding because the economy sucks or the risk is too high is perfectly understandable. Not expanding because you might make a lot of money and have to pay a few percent more in taxes on it is overly dogmatic.

 

Dogmatic? Yup. Being so beholden to a public policy philosophy to the point of holding fire, all else being equal, at a passing quail is probably a rare moment in a small business.

 

I agree with your entire post. Except, of course, its intent which is to prop-up Obamacare more than it is to demonstrate savvy business acumen.

[cheetah]

Thanks, guy. You read my mind almost as well as my ex-wife.