this post was submitted on 03 Sep 2024
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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.

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[–] cogman 159 points 2 months ago (4 children)

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.

[–] [email protected] 28 points 2 months ago (2 children)

Of course all of these things would be nice, but I just don't think it's an electable platform in 2024.

It's not based in reality, but the "biden broke the ecomony" narrative has a lot of traction.

This type of policy would lose more votes than it would win.

[–] hemmes 21 points 2 months ago (2 children)

Dam, you both sound right. And that's some sad shit to realize.

[–] cogman 19 points 2 months ago (2 children)

We can both be right. My goal is showing how appealing government spending can be and is generally. The more people thinking this way, the more palatable "you know what, maybe we should have a 1000% tax on private jet and yacht fuel".

Raising taxes on multimillionaires/billionaires should be a lot more popular than it currently is.

[–] [email protected] 8 points 2 months ago (1 children)

We can both be right.

I chuckled a little when I read that: "Thats not how social media is supposed to work..."

I was supposed to get popcorn, and you two were supposed to fight it out over the next 12 hours arguing about the same thing without realizing it. Pfft. There went my entertainment.

(Obviously, I jest.)

[–] cogman 5 points 2 months ago

Lol, I try to be reasonable. I know my positions aren't generally popular which is why I'm not saying Kamala should campaign on them. But I could see them working quite well for a congressional or Senate seat.

Ironically, progressive positions do often play well in deep red states. It's centrist Democrats that have a tendency to outright reject them.

[–] hemmes 5 points 2 months ago (1 children)

That's because half the population actually believes they'll be as rich as those high tax brackets (which will never happen).

[–] kautau 2 points 2 months ago

And there's unregulated messaging forcing that down their throat both from foreign and national interests that benefit from them voting against their interests.

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[–] Serinus 8 points 2 months ago* (last edited 2 months ago) (1 children)

Agreed. We should stick to the public healthcare first, and revisit others in 15-20 years.

I'm kind of surprised public healthcare hasn't already been pitched in this way. Hell, that $50k should be a medicare credit.

[–] [email protected] 2 points 2 months ago

15-20 years??

How about revisit in 5-8 years.

[–] johannesvanderwhales 11 points 2 months ago (1 children)

Yeah, probably. You know what's not going to pass congress? Any of that.

[–] Ensign_Crab 3 points 2 months ago

Republicans and exactly enough Democrats will see to that, yes.

[–] grue 11 points 2 months 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.

It would massively help the creation of small businesses, too, by massively reducing the cost/risk faced by entrepreneurs.

[–] banshee 10 points 2 months ago
[–] Veedem 49 points 2 months ago (1 children)

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.

[–] expatriado 8 points 2 months ago (1 children)

open business, close business, open new business, repeat, but they are all the same

[–] [email protected] 36 points 2 months ago (7 children)

A deduction isn’t a handout. You don’t get free money you didn’t already earn.

[–] bassomitron 20 points 2 months ago

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.

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[–] Carmakazi 21 points 2 months ago (14 children)

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.

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[–] [email protected] 19 points 2 months ago

If she wins and she does this, I will open my own business. I've been on the fence for months about it, this is enough to pull it off. I look forward to a future with her as our President.

[–] [email protected] 17 points 2 months ago (3 children)

I will never understand how politicians crow about how small businesses and entrepreneurship are what the US needs and then simultaneously complain that there's a shortage of workers. Maybe not every business is inherently virtuous simply by existing, and if there aren't enough workers, that could mean there are too many businesses.

[–] kautau 5 points 2 months ago* (last edited 2 months ago)

And then think that somehow their business will become Wal-Mart, which has actually priced likely them and most other small businesses in their area out of competing.

The businesses that are most successful in my area that have lasted over the last 5 years are intelligent, humble, and treat their employees very well.

  • They've opened in places that make great sense for them location wise
  • They only participate in marketing, events, etc when it provides a real benefit
  • The owners spend real time and energy at the business and events, participating in the community
  • The employees are paid well, provided for (I mean benefits, not just pats on the back), and have opportunities for advancement as the business grows

These businesses deserve a tax deduction to me.

The type of people with shit shill companies to put their debt on or because they post a lot on social media about "hard knocks university" and their instagram is full of shit they bought on a business loan but never about what their business does and the work they do deserve to fail;

These people deserve the "limited" in "limited liability company" to come full circle. Unfortunately the second group is a significant amount of people that will vote for trump because they consider themselves "entrepreneurs"

[–] [email protected] 4 points 2 months ago

One of the best ways someone can make a good living for themselves is to run their own business. Not that it's for everyone, but being in the driver's seat of your own income instead of depending on someone else for a wage is very much the definition of American individualism, even if an individual is simply contracting for a larger firm.

I don't think there's necessarily a shortage of workers, but I think there's a shortage of people willing to work for the peanuts these conglomerates are offering. Competition is severely hampered when large firms corner their respective markets and drive out smaller competitors, because now they are the ones in charge of the respective workforces and are calling the shots, including how much an individual is allowed to make. Smaller firms with lower overhead are able to disrupt them, as long as the playing field is level and the barriers aren't the Dover cliffs.

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[–] [email protected] 12 points 2 months ago (2 children)

Why don't we stop jerking off businesses with both hands and start helping workers?

The fucking petite bourgeoisie get more than enough from the govt teat as it is.

[–] monkeyslikebananas2 8 points 2 months ago

With this you could use to help start a co-op and start helping workers.

[–] UnderpantsWeevil 2 points 2 months ago (1 children)

Why don’t we stop jerking off businesses with both hands and start helping workers?

Because workers don't have a strong outside organization to lobby officials for their benefit. You'd need some kind of... uh... I know there's a word for this. Big Worker Group. Like, a Wad of Workers, where they're all together making demands as a single bargaining unit. An amalgamation of people in a given office or sector of the economy.

Damn, I know there's a word.

[–] [email protected] 2 points 2 months ago

Wad of Workers, sign me up.

[–] [email protected] 7 points 2 months ago

I'm curious as to how people will scam this like they did the PPP loans.

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