[Los Angeles]

Originally Posted by Dleo

The man makes no where near 250k a year, he "wants" to buy his bosses business, and is worried he will have to pay more taxes.

The fact is I think EVERYONE would love to someday buy the business they work for, but it doesn't happen over night.

Sure, I don't want to pay more taxes if I make $250k a year, but you know what, let me get to that point first before I start questioning it first.

+1,0000!

[mpimping]

Originally Posted by DCMETRO22Z

I've seen on TV Joe The Plumber claiming he does 250 000 dollars per year...

Isn't it enormous for a plumber ?? I'm happy for him if it's true but I seriously doubt it...

Or maybe It was a translation mistake (I live in europe) And He's doing $ 25 000 a year wich seems more realistic to me ...

Crisis apart, I'm not sure all wall street traders do 250 000 per year.

Any thoughts ??

if u own the company no. plumber make a lot of money it's just nasty work...

[Maestro]

Originally Posted by Icedog_16

A couple of things from Obama's tax plan on his website that may make your buddy and any other business owner think twice:

As such, many small business owners will be affected and, thus, so will their employees. I'd be willing to bet that if your buddy ends up paying, say, $50K more in taxes that salaries are going to go down or stagnate or someone's going to lose their job or something along those lines because he'll be the last one who has to take a pay cut, which is what would happen in effect should that loophole be closed as is proposed.

As far as I know he is not using a loop hole, he has no employees, it is him and a business partner. They have a c-corp (I am not 100% sure on that) and each partner has shares in the company along with the spouses. Each partner collects a pay check as required by law, enough to justify paying bills, which is not much, the house is paid for and the cars are owned by the company. Since they are all shareholders and the company is required to disperse dividend they all collect a quarterly dividend check which is taxed at as capital gains.

The corp still pays business taxes as required the only thing his is ahead on is paying the additional earned income tax at the higher income bracket, SS up to $98K and Medicare. He will tell you he does not care about paying into SS or Medicare because he plans to have his own money for retirement.

I highly doubt they will dictate how much someone's pay must be for a samll business and that companies can not pay dividends.

Now it sounds like they may close down Steve Jobs loop hole where the majority of this compensation comes from stock grants