Backyard Aquaponics
A place to discuss aquaponics

Hi C1,



My comments are largely oriented toward small business which is about 80% of all enterprise in Australia.

The people may be the market but they spend wealth which is generated by someone who makes some thing and then sells it. Governments may print money but they don't create wealth. In fact, small businesses that succeed, do so in spite of government rather than because of it.

I doubt if very many small business operators get to prey on any government. The risk associated with operating a business is largely borne by its owners. Government risks nothing and employees risk little........compared to small business owners.

Small businesses do not benefit financially from GST......they simply get the job of collecting it on behalf of the government......and they pay it to the extent that they cannot offset it with legitimate business expenses. Any cost on business is passed onto the consumer......logically.

I don't believe that I made any reference to "pheasant (sic) wage earners" at all.

Gary

With risk comes potential reward. As a PAYE tax payer who cannot get a deduction for anything and who has a wife who earns very little (with no opportunity for income splitting) I am not sitting here crying about poor business people. Having said this - IU of course appreciate that without business people, many of the products and services I use would not be available. Likewise without Government, there would be anarchy.

As somebody hinted at earlier, you don't need to look far to see evidence of capture theory and/or economic interest group theory in practice, with Government being led by enterprise.

I am familiar with the tax system in this country, I have been a small business operator for aproaching 30 yrs, yes since I was 18.
and yes at times I was paying more for trady than I earned, that is,
I worked 50-60hrs and then do the books, accept the risk, be paid late, be paid never(some rich prick) find the work, supply lunches, transport, beers.
We work in the country, as in rural.
So GD how much tax do you pay?Asuming your in business for your self
and don't expect an answer, I'm not telling you either!
I ask you this because most wage earners work for three months to pay tax for the year, I am sure you don't and neither do I.

The point I agree on is we have an ability to create what we think we need, yes we do have that ability... but is it neccesary?
2nd 3rd 4th ...........29th house
I love the Aussie way, I am proud to be an Aussie...
there are sone bad buggers out there..though I have no intention of wasting my time energizing them...
There are some pretty amazing ppl out there and I do support them, it's where I put my focus!!!
C1

I like that outlook C1 Its an outlook I have tried to follow (but often lose... then try again because all other negative outlooks on life, business, family, tax etc simply break one down when you could use that energy for good/being productive instead of destructive.

AM- Its a choice we make every time we do something.
and think it.
It is possible to train your brain to do wonderfull things.
Thing for me is, I am going against the trend, I want things simple- less parts, things I can fix, not throw away!
My shed has a few things in it.. that is an understatement according to the cheese and kisses, ...they are becoming more useful every day.the bits in the shed that is not the missus. though shes pretty cool too.

In the United States, a small business becomes a legal corporation, which is basically a tax loophole designed to benefit the business.

My small business (now defunct) American Rain Gutters was incorporated as North American Metal Distributors, Inc. and was able to take advantage of every tax loophole available by being a corporation. In the United States, even small businesses can use the corporate status to manipulate tax law to its advantage. It is all about how tax savvy you are rather than the size of your business, although I can't imagine how large corporations who have full time tax attorney's on staff are able to manipulate the tax loopholes and avoid pating thier fare share?? C-1 is correct, even here the working man tend to pay the lion's share of taxes in proportion to his earnings. Small businesses are getting harder and harder to start as the years wear on and the competition increases.

Perhaps MF, we need to move to a more equitable tax system...

Like maybe a transaction based system.... (surplanting all other taxes)

A flat rate percentage fee paid per financial transaction by EVERYONE......

Now that would cut deeply into wastage and over-indulgence wouldn't it....

Hi,



I've been a business operator.....in one form or another for most of the past 30 years.

Currently, however, I work for someone else. I decided to seek shelter as an employee to allow me the time to work on a range of projects in preparation for my next burst of enterprise. I didn't have this luxury or level of security while operating my own venture.

I pay as much tax as any other PAYE earner (more than most).....and I don't own 29 (or even two) houses.

Just for the record, there are as many tax deductions available to wage earners as there are business people.......something in the order of 250 if I recall. In any case, small business operators are not responsible for the tax system.

VB.....your information around income-splitting is dated. Small business operators haven't been able to split incomes for years.

The inference that small business people are less ethical than anyone else is utter bullshit.

Rupert.....I'd like to see a transaction-based tax system, too. We had the opportunity to head that way when the GST was introduced but the Howard Government discovered that, when it comes to tax, you can have your cake and eat it too........and they've been rolling in money ever since. The various local, state and federal governments now collect more tax revenue (proportionately) than at any previous time in history.

So far, all I'm hearing is evidence of ignorance about how small business and the tax system operates......but keep trying, we'll get there.

Gary

Gary - I think you know exactly what I'm talking about. If I had my own business, my wife would 'work' for me doing the bookwork and all sorts of other things. This would effectivelly allow me to split my income.



BTW - I am not ignorant about the tax system having studied tax law. But I am so glad that you are here to enlighten us with your wealth of knowledge.

Yes, but for wage earners the deductions are far more restrictive and there is more acountability when high deductions show up on a wage earners' tax claim.

For example as a police officer, I could claim deductions for equipment and uniforms to the extent that it all added up to my job duties.

In my metal distributor business, I could write off anything from luxury yachts used to entertain dignitaries in the internation metal distribution business to large corporate donations.

MF my point indeed!!
Tax deductions for wage earners Phift you trying to joke with me...GD
Cars as deductions, fuel to burn, lunches, trips away to check on investments, holidays and drop in to visit a product manufacturer!
come on ... I pay my tax.
deductions for wage earners.... you get $300 for laundry, I can buy a new shirt, socks, pants what ever every day and claim it!
The ATO did an audit on us once, that was a joke...

and as for small business, didn't make the tax laws of course not, did Johnny want to upset any small business owner by charging GST to businesses?
What about Mc bank or bnb their all contracted to guess what, arr avoiding tax,, and they earn ship loads.
BTW I left school at 15 just goes to show how well schools are teaching our kids, NOT and I am not blaming teachers
C1

Hi VB,



The days when you could claim that your wife "did the books" are long gone. These days, if you can't prove that your partner plays an active role in the business, you can't income split.



You must have missed the bit about income-splitting.



You're welcome. I'm always happy to address misconceptions.

Gary

miss conceptions are they conceptions with a miss rather than a Mrs

I must have missed this, I don't think anyone infered that small business people are less ethical.

Having recently started my own business after many years spent as an employee of others, I've been quite amazed at the tax deductions that I can claim.. I guess thats because in the past I spent most of my wages on AP stuff, now I do the same, but almost all of it is tax deductable...

Same page here EB