I mean, we get lots of tax breaks, they’re just highly dependent on increasingly arcane rulesets that are ever-changing and still designed to keep you on the edge of poverty. And then they’re paid for with higher taxes in years following.
If you’re a “company” you get to offset money coming in with expenses and even in the most honest of systems only pay tax on the difference (i.e. the profits).
If you’re an “individual” you pay taxes on any money coming in and cannot offset it with expenses.
So even at the structural level the system is designed to be incredibly unfair. That shit you describe is just adding insult to injury.
If you’re a “company” you get to offset money coming in with expenses and even in the most honest of systems only pay tax on the difference (i.e. the profits).
Taxing profits instead of revenue is sensible though, otherwise businesses with low profit margins would be impossible to run. Groceries would be twice as expensive since the supermarket would have to increase their profit margin by a huge amount to not go bankrupt
Why do they need a huge profit margin of profit is the money left over after they’ve paid their expenses? And why wouldn’t you want the same system for individuals?
Why do they need a huge profit margin of profit is the money left over after they’ve paid their expenses?
Because if they were taxed on revenue, not profit, they would have a higher tax burden than their profit and go bankrupt
And why wouldn’t you want the same system for individuals?
If you could deduct all your expenses from taxes the only ones paying taxes would be people saving up their money. I also didn’t say with a single word that I don’t want the same system for individuals, why are you arguing in bad faith and putting words in my mouth?
That’s what the “Standard deductible” is on your taxes. Basically “this is what we think it costs to live here for a year, so this money doesn’t count towards your taxes.”
I mean, we get lots of tax breaks, they’re just highly dependent on increasingly arcane rulesets that are ever-changing and still designed to keep you on the edge of poverty. And then they’re paid for with higher taxes in years following.
If you’re a “company” you get to offset money coming in with expenses and even in the most honest of systems only pay tax on the difference (i.e. the profits).
If you’re an “individual” you pay taxes on any money coming in and cannot offset it with expenses.
So even at the structural level the system is designed to be incredibly unfair. That shit you describe is just adding insult to injury.
Taxing profits instead of revenue is sensible though, otherwise businesses with low profit margins would be impossible to run. Groceries would be twice as expensive since the supermarket would have to increase their profit margin by a huge amount to not go bankrupt
Why do they need a huge profit margin of profit is the money left over after they’ve paid their expenses? And why wouldn’t you want the same system for individuals?
Because if they were taxed on revenue, not profit, they would have a higher tax burden than their profit and go bankrupt
If you could deduct all your expenses from taxes the only ones paying taxes would be people saving up their money. I also didn’t say with a single word that I don’t want the same system for individuals, why are you arguing in bad faith and putting words in my mouth?
Hmm maybe this indicates that basic necessities of life should not be managed through the profit motive.
That’s what the “Standard deductible” is on your taxes. Basically “this is what we think it costs to live here for a year, so this money doesn’t count towards your taxes.”
I think you replied to the wrong comment
Eh. In the same line. Close enough.
Individuals can but only for the stuff they need to get their income.
I mean, the whole concept of the standard deduction is based around exactly that. It’s way to low to actually be that, but that’s the intent.