Vice President Kamala Harris will propose a tax deduction of up to $50,000 for new small businesses on Wednesday, a tenfold increase over existing relief and her latest economic policy aimed at winning over middle-class Americans after jumping into the presidential race over a month ago.
You know what would really help small businesses, like a lot? Public health insurance (covering things like vision and dental). A huge part of the cost of doing business is benefits for employees. Well, with public health insurance that’s a huge budget item that suddenly small businesses don’t have to pay.
Want to make it better? Expand social security to be something you could live off of. Boom, now you as a small business owner don’t need benefits like 401ks. Your employees will be well taken care of by a government ran pension.
Want to go a step further? Expand public housing, public transport, and food security programs. Now all the sudden a business doesn’t need to pay top dollar because the cost of living for everyone has been significantly decreased. You can easily find low wage workers and hire crews of them because the added income for everyone is more of a bonus rather than a necessity.
What else could you do? Reduce the full time work week from 40 hours to 30 hours. For a small business, it means you can actually focus on having your employees doing useful work rather than having them hang around an extra 10 hours a week doing nothing. For the employees, now they have spare time on their hands which means more opportunities to interact with the community and small businesses.
By taking care of the basic needs of the population you give the population a lot of spare capital and time. All of which can stimulate the economy to new heights.
You know what would really help small businesses, like a lot? Public health insurance (covering things like vision and dental). A huge part of the cost of doing business is benefits for employees. Well, with public health insurance that’s a huge budget item that suddenly small businesses don’t have to pay.
It would massively help the creation of small businesses, too, by massively reducing the cost/risk faced by entrepreneurs.
Yeah, probably. You know what’s not going to pass congress? Any of that.
Republicans and exactly enough Democrats will see to that, yes.
Nailed it.
Interesting incentive move. I immediately wonder how people are going to exploit it, though I don’t believe the potential for abuse should dissuade an attempt at progress.
open business, close business, open new business, repeat, but they are all the same
A deduction isn’t a handout. You don’t get free money you didn’t already earn.
Yeah, if this was a credit that’d be a different story and very ripe for exploitation. However, a deduction is still quite a bit of money to reduce your taxable income by.
my comment implies there was already a business or a business to be made, and closing and reopen was a metod to game system for 50k deduction, hence less taxes, each time this is done
If your business is doing so poorly that deducting a single person’s wage for the first year is worth that effort then…I guess yeah. Game away.
My [likely ignorant] take is that we need better incentives for workers, renters, and first-time homeowners, not MBA
shysters“entrepreneurs” creating “new businesses” dropshipping imported garbage and other ventures that add little value to society.Tf are you on about? You realize that a huge chunk of small business owners are middle class, right? Hell, many of them are barely holding on at all. My wife is a social worker and started her own “business” this year, which is just a small office she rents so she has a safe place to meet her clients. I promise you we are far from being wealthy. Don’t confuse small business as being riddled with millionaires and billionaires, because that’s just complete nonsense.
I assumed they were pointing out how small business tax breaks can be taken advantage of by those wealthy types pretending to be people like your wife. On the other hand, benefits to workers, renters and first time home-owners can’t be exploited as simply and would benefit your wife just the same. But if I’m wrong then, yea, I agree with you 100%.
Real weird that people don’t seem to get that competition from small, local businesses is what we want to end the corporate grip on our lives. Millionaires get venture capital loans, not $50k small business loans.
Yeah, it doesn’t make much sense. Big corpos use shell companies to completely evade tax obligations (e.g. Google, Apple, etc), not get a measly $50k deduction off their enormous profits.
I’m curious as to how people will scam this like they did the PPP loans.
We don’t need more small businesses. We need less corporations, less ultra wealthy and more healthy middle class. This does not solve anything and a one time tax deduction doesn’t make small businesses sustainable when they have to compete against corpos.
Having more small businesses is how you get less corporations and a healthier middle class… there’s a ton of great incentives for small businesses already, but the hardest part is the initialization and the first year. This makes that way easier. This is a good idea, you just have a bad view.
Thank you. I can’t believe there are multiple comments in this thread hating on small businesses and somehow justifying that as them being anti-corpo/wealthy elite. We need less Walmart/Amazon/etc and more smaller, locally owned and run businesses.
Even better just require all businesses to have a union or coop democratic structure when expanded beyond one employee. Fix the problem from the beginning. All employees should have equal voice. CEO one vote, delivery truck driver one vote. For all companies large and small.
more businesses could facilitate more work, right?
