Another dumb Oregon tax increase - Measure 97.

[Azadina]

I'm afraid I'm not certai how this contradicts what I said ?

Was it supposed to? The point is, they are guilty of doing it far more than the government is. So, why complain about the lesser of two evils?

[Cheze]

I agree that the Arts Tax is pretty shitty policy, but $35/year is hardly 'raping people's money'

[Kapadons]

Was it supposed to? The point is, they are guilty of doing it far more than the government is. So, why complain about the lesser of two evils?

If it's ok with you, I would like to complain about both.

[Shakou]

25 million dollars in sales, whether net or gross, would almost never qualify as a "small business" unless they sell extremely high priced luxury items that cost in the millions each.

This is not remotely true, the term "small business" is a size standard, it has absolutely nothing to do with how much money the company makes, only how many people they employ. In the US it means a business that employs less than 500 people.

So basically people who rant endlessly about how this is going to hurt small businesses shouldn't be taken seriously at all. There are plenty of "small businesses" that bringing in revenues in the billions every year.

At any rate, this thread is full of people who are bad at math and know next to nothing about how this is actually going to effect the average person.

Exhibit A:

LuL.. hope Oregon is ready to say goodbye to all those businesses as they jump ship and go to a different state.

A single 7-11 convenience store makes on average 1.4 million in gross sales but only makes 5% of that in net income ($65,000). this tax bill cuts their profits in half to 32,500.

I realize it is below the 25 million threshold but I am making a point. A store that deals in small margins and large volume will be forced to close.

Your example literally does not apply to this at all. 7-11 is a Corporation, this tax will not apply to C-Corps, and the individual stores that are not corporate owned also do not apply to this new tax because they don't make anywhere close to 25 million in profit a year. In reality this tax is only going to effect businesses that can afford to pay it, and the average person isn't going to notice a huge difference. /facepalm

[Azadina]

If it's ok with you, I would like to complain about both.

Fine by me. Both could definitely use some common sense reform.

[Aeluron Lightsong]

$1100 is pretty cheap for a 1-bedroom, I've seen 1-bedrooms in the trendier areas for $2400.

That's still absurdly expensive. Hope the common man makes like 5 grand or more in roughly 2 weeks or so >.>

[Reeve]

That's still absurdly expensive. Hope the common man makes like 5 grand or more in roughly 2 weeks or so >.>

$1100 for a 1 bedroom is absurdly expensive? I pay $1480 for a 1 bedroom in Houston.

[zEmini]

If you're going to come at this from the perspective that we're all ignorant dumb fucks, then do us a favor and go away. You know nothing about our business experience, and assuming you do shows us your own ignorance.

Yah where do I call everyone a ignorant dumb fuck? Perhaps you should read what I wrote again. Do you expect everyone too understand history or basic story structure too when they say something that is just flat out wrong?

Sorry if I sounded condescending or patronizing.

- - - Updated - - -

Alright, let's start off by saying that a corporation making 25 million dollars or more a year has room to wiggle and afford not to tank under non-risky circumstances. If you're playing Russian roulette with your business, then don't be surprised when it does bite that bullet.

And not to mention, a small business defined by Oregon law is a business understaffed by less than 50 people and/or making less than 10 million/year gross. This doesn't effect small business whatsoever and only effects out of state investor class individuals and hyper corporations that have been cesspools for hiring for decades (mcdonalds, walmart, ect.)

Your entire argument is based on this fallacy that these mega corporations matter at a state level where small business is far more important, especially when hand in hand with small government.

Not all industries are the same. Some have much MUCH lower than net profit % compared too others. Not everything is treated equal. Having too pay 625k in new taxes is just unacceptable for any business. God did I calculate that correctly?

Basically, Taxes should NEVER EVER be based on Gross Sales.

- - - Updated - - -

This is not remotely true, the term "small business" is a size standard, it has absolutely nothing to do with how much money the company makes, only how many people they employ. In the US it means a business that employs less than 500 people.

So basically people who rant endlessly about how this is going to hurt small businesses shouldn't be taken seriously at all. There are plenty of "small businesses" that bringing in revenues in the billions every year.

At any rate, this thread is full of people who are bad at math and know next to nothing about how this is actually going to effect the average person.

Exhibit A:


Your example literally does not apply to this at all. 7-11 is a Corporation, this tax will not apply to C-Corps, and the individual stores that are not corporate owned also do not apply to this new tax because they don't make anywhere close to 25 million in profit a year. In reality this tax is only going to effect businesses that can afford to pay it, and the average person isn't going to notice a huge difference. /facepalm

There are more businesses than just franchisee's. People always just assume that it is only BIG business that get taxed the most with things like this, but in fact THEY get the biggest breaks and it is the middle of the road (middle class businesses) that get hit the hardest.

[BannedForViews]

25 million dollars in sales, whether net or gross, would almost never qualify as a "small business" unless they sell extremely high priced luxury items that cost in the millions each.

Small business is under 250 employees. There are a lot of things that can generate that income without having over 250 employees. Law firms very easily, car dealerships, jewelry stores and other luxury goods. Also it is only in the last two words OP says "small businesses". These are his words, and not the law of what classifies a Sub C.

[zEmini]

Small business seems to be subjective depending on the market and industry you are in.

[Gorgodeus]

LuL.. hope Oregon is ready to say goodbye to all those businesses as they jump ship and go to a different state.

A single 7-11 convenience store makes on average 1.4 million in gross sales but only makes 5% of that in net income ($65,000). this tax bill cuts their profits in half to 32,500.

I realize it is below the 25 million threshold but I am making a point. A store that deals in small margins and large volume will be forced to close.

haha.. Funny hyperbolic bs.

The average gross profit for convenience stores in 2009 was about $477,894.
http://smallbusiness.chron.com/avera...ore-35712.html

[zEmini]

haha.. Funny hyperbolic bs.

The average gross profit for convenience stores in 2009 was about $477,894.
http://smallbusiness.chron.com/avera...ore-35712.html

While incorrect he is, there are still a lot of companies that have a small net profit.

Which is exactly why the tax should NOT be based on GP.

[Gorgodeus]

While incorrect he is, there are still a lot of companies that have a small net profit.

Which is exactly why the tax should be based on GP.

Not when they gross $25 million. If so, they should go out of business.

[Khuros]

in bumfuck oregon. .

wow wow wow. Who the fuck do you think you are?

[Milchshake]

The numbers don't actually matter. That's why I didn't spend the time to find the median income of a city council member in bumfuck Oregon. Government could save money but cutting out redundancy of politicians and an audit of bringing their salaries in line with the average American. Do the math if you want - find out how much every government put together in America would save if every person in it was capped at making the average annual salary of the American worker. The only way to increase their pay is to increase the average workers pay.

Is this tax how they pay for the village idiot to pump gas for everyone? Its beyond weird that people can't pump their own gas.

Now I take alot of pride on making it from Yreka to Kalama on one tank of gas. Efff those gas pumpers!

[zEmini]

Not when they gross $25 million. If so, they should go out of business.

See this is ignorance right here. You do not know what you are talking about. I am sorry about being blunt but not every business has such a huge net profit %. It is just going too hurt the consumers and potentially hinder hiring.

[Gorgodeus]

See this is ignorance right here. You do not know what you are talking about. I am sorry about being blunt but not every business has such a huge net profit %. It is just going too hurt the consumers and potentially hinder hiring.

If this tax is going to make or break a $25 million+ business, said business was doing it wrong. Considering I retired at the age of 42 after owning my own business, I would say I know what I am talking about. Nice try though.

[Captain N]

$1100 for a 1 bedroom is absurdly expensive? I pay $1480 for a 1 bedroom in Houston.

Seems like $1200-$1500 is the going rate for a one bedroom in a major metropolitan area. I know the apartments around me were renting studios for $900-$1000 not too long ago.

[zEmini]

If this tax is going to make or break a $25 million+ business, said business was doing it wrong. Considering I retired at the age of 42 after owning my own business, I would say I know what I am talking about. Nice try though.

What kind of business and how big was it? Employees?

Something tells me you are full of it.

[Gorgodeus]

What kind of business and how big was it?

Something tells me you are full it.

Sole proprietorship. About a dozen employees.

Sub Cs that that are grossing $25 million+ are not making tiny profits. If you understood what a Sub C actually is, and why small businesses use other models, you would see that the tax was put in place for a reason.