Not many folks are talking about it but get ready for smaller paychecks starting in January no matter who gets elected.

If you make $40,000 a year your annual taxes go up $800.
If you earn $60,000 a year your taxes go up $1,200 per year.
If you are eeeeevil rich guys like Belly and Manhattan Buckeye and you earn $113,700 or more per year, your tax increase will be $2,300 per year.

http://apnews.myway.com/article/20121021/DA221AF00.html

aka Taxmaggedon.

TedSheckler;1301436 wrote:aka Taxmaggedon.

Yep and FICA is just the beginning.

Depending on what happens ..... Maybe I will close both business take my SS, VA disability, work by taking money under the table, buy and sell on e bay and pay as little amount of personal and sale tax I can. This would limit jobs, lessen the local taxes I pay, decrease sale tax income locally and I will be a taker of federal funds and not a producer of society.

Keep taxing those that have and sooner or later the Feds will have less and so will everyone else.
Take from the producers and produce less, limit the entitlements and create producers. Government spending needs to be cut and taxes lowered or nobody will benefit and everyone will lose

We're expats so we don't pay the same taxes, in fact we don't even pay into the ponzi scheme that is social security (on the other hand, we won't get the benefits - ha ha ha like anyone under the age of 40 will).

Belly35;1301442 wrote:Depending on what happens ..... Maybe I will close both business take my SS, VA disability, work by taking money under the table, buy and sell on e bay and pay as little amount of personal and sale tax I can. This would limit jobs, lessen the local taxes I pay, decrease sale tax income locally and I will be a taker of federal funds and not a producer of society.

Keep taxing those that have and sooner or later the Feds will have less and so will everyone else.
Take from the producers and produce less, limit the entitlements and create producers. Government spending needs to be cut and taxes lowered or nobody will benefit and everyone will lose

How many people do you employ right now?

Well that's a bitch.

believer;1301433 wrote:Not many folks are talking about it but get ready for smaller paychecks starting in January no matter who gets elected.

If you make $40,000 a year your annual taxes go up $800.
If you earn $60,000 a year your taxes go up $1,200 per year.
If you are eeeeevil rich guys like Belly and Manhattan Buckeye and you earn $113,700 or more per year, your tax increase will be $2,300 per year.

http://apnews.myway.com/article/20121021/DA221AF00.html

After 4.5 hours covering 3 debates, the fiscal cliff, or taxmageddon, has yet to be asked in any of them. What are their stances? What would they like to see done?

Unless the Mayans are right, in 71 days, it will be at our doorstep. And yet, questions about Lily Ledbetter, gas prices, and how to help a poor college student find a job are superior topics according to the "moderators".

I'm 50/50 on these tax cuts expiring. I can see why they should be extended (bad economy) and why they shouldn't (solvency of SS).

Yeah, it sucks as my wife and I's taxes will go up a lot (combined income well over the $113k mark listed by the OP).

ZWICK 4 PREZ;1301459 wrote:How many people do you employ right now?

In 2007 we had 12 total (both companies) and 10 Sale Rep Organization Nation Wide (paid commission)
By 2009/10 we where down to 4 (not counting myself)

If what I'm working on comes full circle I would be expecting to employ within the next year additional 4 plus (one electrical engineer) with the expectation within three years a total of 30 employees and no Sale Rep Organization but in-house sale.

If what I'm working on does not happen and Obama is elected .... Screw it …. game over
If what I’m working on does happen and Obama is elected …. Not Sure … Obamacare &#8230otential for lost investment to great ….
If what I’m working on does not happen and Romney is elected … I will keep trying with my personal investment
If what I’m working on does happen and Romney is elected …. I’m all in

Tax me personally and my companies then slap me with Obamacare it not a formula for success for small business … I'll take my money, productivity, sales tax and employee income and walk away...

Belly35;1301532 wrote:In 2007 we had 12 total (both companies) and 10 Sale Rep Organization Nation Wide (paid commission)
By 2009/10 we where down to 4 (not counting myself)

If what I'm working on comes full circle I would be expecting to employ within the next year additional 4 plus (one electrical engineer) with the expectation within three years a total of 30 employees and no Sale Rep Organization but in-house sale.

If what I'm working on does not happen and Obama is elected .... Screw it …. game over
If what I’m working on does happen and Obama is elected …. Not Sure … Obamacare &#8230otential for lost investment to great ….
If what I’m working on does not happen and Romney is elected … I will keep trying with my personal investment
If what I’m working on does happen and Romney is elected …. I’m all in

Tax me personally and my companies then slap me with Obamacare it not a formula for success for small business … I'll take my money, productivity, sales tax and employee income and walk away...

Your corporate income taxes are being cut to 28% by Obama.

ZWICK 4 PREZ;1301537 wrote:Your corporate income taxes are being cut to 28% by Obama.

Actually by the way he described his business, it most likely gets taxed as an individual, not a corporation as most small businesses do.

So you are probably incorrect as Obama wants to raise his taxes nearly 4% plus require Obamacare on him.

jmog;1301575 wrote:Actually by the way he described his business, it most likely gets taxed as an individual, not a corporation as most small businesses do.

So you are probably incorrect as Obama wants to raise his taxes nearly 4% plus require Obamacare on him.

^^^^^This ^^^^^^

S-Corp

jmog;1301575 wrote:Actually by the way he described his business, it most likely gets taxed as an individual, not a corporation as most small businesses do.

So you are probably incorrect as Obama wants to raise his taxes nearly 4% plus require Obamacare on him.

Belly35;1301577 wrote:^^^^^This ^^^^^^

File a formal request to change to a c corp.

Restoring the FICA rates I wouldn't really consider a tax increase. It's another flop - many economists view temporary tax breaks as ineffective, and there's also a behavorial economics argument about cutting something like FICA (marginally noticeable in a take home check) vs. a lump sum check from the gubmit that is like "free money".

As for the great fiscalgeddon, they will kick the can like they always do. So that knock-down debate over raising the debt ceiling will have been pointless. But we have another one coming up, and it will be interesting to see if Harry Reid becomes a "fiscal terrorist" in a different regime

ZWICK 4 PREZ;1301597 wrote:File a formal request to change to a c corp.

???? and potentially realize double taxation? No thanks.

Con_Alma;1301605 wrote:???? and potentially realize double taxation? No thanks.

Hahah, you've broached a subject some people can't, or won't, understand.

Con_Alma;1301605 wrote:???? and potentially realize double taxation? No thanks.

Depends on what his taxes are changed to.

ZWICK 4 PREZ;1301612 wrote:Depends on what his taxes are changed to.

...which is why the word potentially was chosen for my statement.

Con_Alma;1301617 wrote:...which is why the word potentially was chosen for my statement.

Well he's the one talking about growing it. Maybe he has big ideas for the business. S corp can be limiting can it not?

ZWICK 4 PREZ;1301623 wrote:Well he's the one talking about growing it. Maybe he has big ideas for the business. S corp can be limiting can it not?

I could be wrong, but I would guess he's already structured as an S-corp. It's pass-thru taxation, one of those 80% of businesses or whatever that are taxed at personal rates Romney was referring to.

ZWICK 4 PREZ;1301623 wrote:Well he's the one talking about growing it. Maybe he has big ideas for the business. S corp can be limiting can it not?

It can be, yes, but to change your status any earlier than need be could cost plenty of tax dollars. It must be managed and timed correctly.

It's the matter of fact statement with regards to Obama "cutting his corporate tax rate to 28%" and that he should "change to a C corp" that's being responded to.

Maybe a simpler response *to you should have been to use Lee Corso's words, "Not so fast my friend".

I would think it highly unlikely to realize lower after-tax income on a C-Corp. One cannot simply make their salary = profits every year. Let's say the normal/ordinary CEO salary he'd take is $120k, so on that amount he could save 7-8% or whatever, potentially. In a progressive system it's actually less, maybe $5k total. But then the rest is going to be subject to double taxation, meaning if he had $100k more in a good year, he gets hit with an additional 28% on that amount.

Although in that scenario it would be 28% on the $100k, and then he pays himself a dividend which is 15% capital gains....oh, wait a minute.