Business and Tax Burden - Opinions

I fall in the camp that our tax burden should be reduced. In my own experience, I was massively underpaid for years on end and still haven’t reached the point where I’m massively overpaid. I probably make on the high end of an average tech worker >$250k annually. This took about 14 years to achieve if my neat recollection is accurate. And in that time, I’ve probably generated close to $1m in sales tax through various business ventures and of course failures.

This post on the NSFE is what triggered these thoughts.

Calling it quit after 5 years of being a small business on Amazon

This could easily have been me. My guess is the OP is being overtly simplistic in their portrayal of business, the market, amazon etc., but not everyone can articulate into prose the vastness of the landscape that is entrepreneurship.

Sunday thoughts. Sharing is caring.

T_T

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The op of that thread states they have to spend a lot on ads and that leads me to think they are a pl seller. There are many many different business models that can work on amazon, and most of them are not get rich quick models.

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I have a business neighbor who runs a mattress distribution company, who makes business decisions based on what they hear in their head when they put their hands together at the bedside. We bought a new delivery box truck at our Omaha location and asked if they wanted to buy the old one and they had to seek divine answers and get back to us. Being that is the spectrum of entrepreneurship, know where you stand on the reality obtainment spectrum.
Having a profound understanding of one’s market potential and capacity you should be able to determine what is holding you back from your goals or if your goals exceed market/business capacity. If I Thanos snapped remove all competition from Amazon today, our company would only be able to double or triple in size, but my wifes vacation budget requires a 10 fold increase in sales.
Needless to say, I have identified the core problem…and it isn’t a business operations problem.

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Obtainium is a rare element like common sense.

Hope the wife doesn’t read your posts :smirk:

Her role in your character arc hasn’t gone unnoticed :joy:

Married a confident educated professional, who relishes tax time to see who made more, who can also tolerate an intense wit and bad dad jokes.
giphy

I’m good.

Reminds me of when we first did taxes married and she made more but was like "WTF! You don’t pay income taxes on your BAH?! "

I don’t think anyone should have to pay any taxes

But like they say, there’s only 3 things that are certain in life

Death, taxes, and Amazon screwing you.

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Amazon is only one of many sales channels. And while it is quite successful in many ways, it is not a good fit for all products or businesses.

If you voluntarily live in a place where taxes are collected, then you should pay the taxes that you owe. Unhappy? Then dispute the amount you are assessed and/or lobby for changes and/or move. :woman_shrugging:

And that we did.

We were in MA just south of us for many many years. One day a gentlemen came in wanting to know what we did. I gave him a tour. Many others had visited us, Inc. Magazine, Success Magazine, we (I though I don’t care for that term) was on the cover of PC Today.

He was amazed at what we did, we employed students from the high school within walking distance of the Drum Hill Rotary, we bought products from local companies, our team ate a local restaurants.

They sent us a tax bill. Now understand, we had already paid our income tax, our state income tax, our sales tax, our tax on leases…

It took me 22 days to find a new location in New Hampshire. “Live Free or Die” No state sales tax no income tax, no tax on leases, no tax except for real-estate.

The “gentleman” called 30 days after we moved. “What happened?” I simple stated, we moved 16 miles north to New Hampshire. “But why?” I simply added, “Live Free or Die.”

Now this tax was a additional tax, to cover prop 2 1/2 when the homeowners would not pay to increase the tax they pay for the schools. We had always used paid interns and still do. Not in MA since the move, but now in NH.

Stupid Government.

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This right here. I don’t mind paying to an accountable institution a moderate rate. But when was the last time the various branches of government were audited? When was the last time the IRS was audited? I maximize the :poop: out of every deduction and write off.

Our state reps, and we have a crap load of them, get $50 a year and do not have to pay when they go through the tolls in our state. And they get a cool license plate too.

We make our money (we being the state) from selling liquor at state stores, on the highway, and other places. Known as the highest consuming State of Adult Beverages. Not locally, but since everyone drives here to buy at a great price. We were in PA for the holiday, we took down some wine, half the price they could buy it for. Priceless.

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Same. My state doesn’t collect income tax. :woman_shrugging:

(…but don’t look at any of our quality of life indicators)

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Having lived in a few states, it does always amaze me how they differ in what they do/don’t collect. I’m in Texas now where there’s no income tax. Generational folks here cry foul over the property taxes - which tells me they’ve never lived in New York, Illinois or Pennsylvania. In Georgia we had low property tax, but the schools weren’t great.

I think PA was the worst state, tax-wise. I remember being shocked my first February there getting an official notice to count and monetize any leftover inventory from the previous year. They had a tax for that. Don’t remember the name, but it was exactly that: An extra tax on whatever inventory you store on premises. Who comes up with this stuff?

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Recently, they tried but it was voted down.

The people that are voted into office (as suggested by the people who lobby).

Texas does have an inventory tax as part of the business property tax depending on the county one resides in.

Texas property taxes are handled locally, there are no state property taxes, but local taxes often include inventory taxes.

Strategy

That is why we never purchase inventory in 4th quarter and run down our inventory so that our year end inventory is low … restock is starts in January.

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BAH? Does that mean you served? (thank you!)

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Very interesting! My CPA has never mentioned it, maybe because I’m too small (rolling inventory & a couple desktop printers). I’ll pretend I didn’t read that :wink:

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By county / by city … you may not have to as it is not set at state level. In our county, we have to (and the county’s population is small so it is probably why it is important to them).

same with a couple of engravers …

We’re in a huge one - probably why it’s the opposite. Looking into it now - I honestly had NO idea.

ETA: Looks like my county is over/under $20k. I’m under so PHEW.

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Yup, retired recently. Sadly due to medical reasons I will probably never fly again.

Thank You, for paying your taxes so I could fly around the planet in a big grey airplane disrupting/ending dictators, regimes and communist countries :slight_smile:

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