We simply don’t live in the same reality (and I’m not judging your reality). So, I will not try to convince you that taxing individuals and businesses decreases economic activity and job creation.
In my reality, however, I have been thinking about starting two businesses, and hiring at least one employee, but I keep thinking of all the start-up costs and taxes in CA and I consistently lose my motivation to get going on it with a passion. However, that is just me, I’m sure. Maybe I’ll wait to get started in 2010 or so, after we see what pans out with the economy, healthcare, etc.[/quote]
Please do try to convince me. If my opinion changes, then I win, not lose. Please show me compelling empirical evidence that small marginal tax rate increases damage the economy. (or conversely, that marginal tax rate reductions improve the economy) I’m more than willing to consider the possibility. I have just never seen it. And I have looked, maybe in the wrong places. My anecdotal experience as a business advisor over the last 30 years tells me the same thing. Business owners complain about taxes. And then continue to do whatever they need to do to make their business grow. Never once did any of them (and there were hundreds) tell me that they didn’t hire because income taxes were too high. Not once.
With regards to starting a new business, which CA taxes are you referring to? Annual LLC or minimum Franchise tax? I don’t have a recollection of those changing significantly in recent years, have they?
