Online Now 3047

The Blue Board

We aren't just committed to college football; we're early enrolling in it.

On this Board 2117
Record: 7394 (2/14/2012)

Online now 3434
Record: 18710 (2/25/2012)

Boards ▾

The Blue Board

We aren't just committed to college football; we're early enrolling in it.

247Rumors

College football scuttlebutt and scoop- powered by Football Rumor Mill

The Green Board

Where the madness isn't just in March.

Big Ten Board (Beta)

Reply

Obamas controversial tape

  • TheT12 said...

    This is not entirely true. At the end of the day, the members of an LLC owe taxes on all profits personally. 1 mil in profit is the same whether it's 1 llc or 50. My experience is that 50 is more expensive b/c all of the liscensing. The reason you do multiple llcs is because you have different partners for each one or because they need to be separate for legal or insurance reasons. There are some tax loopholes that can be used there, but they aren't very big.

    It all depends on the money. In many cases the income outweighs the liscensing by quite a bit. I used to work at a management company that managed hospitality businesses and we had basically one owner that owned about 23 hotels and 16 restaurant franchises. Each one was a different LLC and while it does protect his assets from lawsuits from one to the rest, it also saved him about a million dollars in taxes, plus or minus a few hundred thousand from year to year. That definitely outweighed the cost of the business liscenses. That's not even digging for loopholes, that's just each LLC being taxed at a lower rate than the whole should have been taxed. I understand protecting your assets, but there has to be regulation as well. We also had an owner that had 4 hotels in Atlanta. Each one was technically owned by a different person in his family for tax reasons as well with one of them being owned by his 17 year old daughter that lived in Seattle with his ex-wife.

    I just think that needs to be the first course of action before tax increases. More checks and balanced to make sure that people are paying what they actually owe.

    BetterOff

  • BetterOff said...

    It all depends on the money. In many cases the income outweighs the liscensing by quite a bit. I used to work at a management company that managed hospitality businesses and we had basically one owner that owned about 23 hotels and 16 restaurant franchises. Each one was a different LLC and while it does protect his assets from lawsuits from one to the rest, it also saved him about a million dollars in taxes, plus or minus a few hundred thousand from year to year. That definitely outweighed the cost of the business liscenses. That's not even digging for loopholes, that's just each LLC being taxed at a lower rate than the whole should have been taxed. I understand protecting your assets, but there has to be regulation as well. We also had an owner that had 4 hotels in Atlanta. Each one was technically owned by a different person in his family for tax reasons as well with one of them being owned by his 17 year old daughter that lived in Seattle with his ex-wife.

    I just think that needs to be the first course of action before tax increases. More checks and balanced to make sure that people are paying what they actually owe.

    llc's aren't taxed. they are flow through companies. meaning the owner pays taxes on his personal tax return based on the profits (loss) of the llc. the llc itself doesn't pay any taxes (except for something like state licensing, like in alabama).

    llc have many tax benefits, but having mroe is of little benefit than having fewer. and as t12 said, most often the licensing is way more expensive than any potential benefit.

    this is very basic, btw.

    and i'm an accountant.

    theharbinater ●

  • Mich&RedWingFan said...

    He is correct

    From 1917 to 1981, the bottom 90% of wage earners in this country (blue) captured 69% of the total wage growth. The richest 10%, meanwhile, got 31% of the wage gains. Between 1981 and 2008, however, things changed. The richest 10% grabbed 96% of the income gains in those years, leaving only 4% for the bottom 90%.

    BLF is correct... However, 'wealth inequality' and how it relates to the state of the economy is a highly, highly complex issue. It matters not a lick how old BLF is, or if he's still in college... You could sit two Nobel prize winning economists at a table to debate the issue and you'd still have two wildly differing opinions as to it's relevance.

    There are two realities that I see as being pretty cut and dry though... The "1%" will always, always, always find a way to shelter income from taxes, especially when they perceive they are carrying an disproportionate amount of the tax burden (relative to the 99%). This has been proven over and over again. Lowering the egregiously onerous corporate tax rates are where we need to begin... Do that and you'd see trillions repatriated (and bound for the US Treasury) practically overnight. There's a reason why Google Ireland Limited exists... It's called "foreign rate differential".

    brem22 ●

  • BamaLivesFootba said...

    Considering I independently arrived at my beliefs in a conservative state at conservative schools with conservative friends and families, I doubt I will.

    No you will, what you have now is arrogant schooling beliefs. You think you are so very smart with everything figured out but you have yet to experience real life and see what it brings. Don't worry it will come in time you are just young but think you are some world traveler with all this knowledge and everyone should just listen to you. Not really surprised with todays society. To be young and naive

    signature image signature image signature image

    tuskstider ●

  • theharbinater said...

    llc's aren't taxed. they are flow through companies. meaning the owner pays taxes on his personal tax return based on the profits (loss) of the llc. the llc itself doesn't pay any taxes (except for something like state licensing, like in alabama).

    llc have many tax benefits, but having mroe is of little benefit than having fewer. and as t12 said, most often the licensing is way more expensive than any potential benefit.

    this is very basic, btw.

    and i'm an accountant.

    It still depends on location. Federal and State tax is handled differently with such companies. There are also tons of loopholes like I mentioned that these people find such as setting up other people as the owner of companies when they are not. It happens all the time and I have seen it. When the owner of these LLCs has many different in different states, then yes, he is getting out of certain taxes based on the fact that he is basing that company in a different state. If that same LLC was not seperate, he would be charged a higher rate in the state that he calls home on that income. Owners can also tie money up in the equity of a company or create a "slush fund" which hides that money up so that it can not be taxed. That is money that he can draw on for personal use at any time and avoided paying taxes as of it was part of an actual salary or income.

    BetterOff

  • brem22 said...

    BLF is correct... However, 'wealth inequality' and how it relates to the state of the economy is a highly, highly complex issue. It matters not a lick how old BLF is, or if he's still in college... You could sit two Nobel prize winning economists at a table to debate the issue and you'd still have two wildly differing opinions as to it's relevance.

    There are two realities that I see as being pretty cut and dry though... The "1%" will always, always, always find a way to shelter income from taxes, especially when they perceive they are carrying an disproportionate amount of the tax burden (relative to the 99%). This has been proven over and over again. Lowering the egregiously onerous corporate tax rates are where we need to begin... Do that and you'd see trillions repatriated (and bound for the US Treasury) practically overnight. There's a reason why Google Ireland Limited exists... It's called "foreign rate differential".

    I agree with this. If it is money is being "trickled down" as my Republican friends call it, then it works wonderfully. Tax breaks and loopholes are going to need to be tightened though to ensure that this happens on the individual's end though.

    BetterOff

  • BetterOff said...

    It still depends on location. Federal and State tax is handled differently with such companies. There are also tons of loopholes like I mentioned that these people find such as setting up other people as the owner of companies when they are not. It happens all the time and I have seen it. When the owner of these LLCs has many different in different states, then yes, he is getting out of certain taxes based on the fact that he is basing that company in a different state. If that same LLC was not seperate, he would be charged a higher rate in the state that he calls home on that income. Owners can also tie money up in the equity of a company or create a "slush fund" which hides that money up so that it can not be taxed. That is money that he can draw on for personal use at any time and avoided paying taxes as of it was part of an actual salary or income.

    i'm not 100% sure about other states, so i'll leave that to you (though i don't think they can tax an llc either). either way, at that point we're talking about state taxes and not fed, which has nothing to do with the fed deficit.

    as for the multiple family owners, there are ratios of ownership and situations which will cause them to be taxed as a single family owner.

    they aren't taxed on equity. so any money he takes out of it is "tax" free. but there's only 2 ways to get money in as equity. pu it in yourself (in which case you'd already have paid tax on it) or the company makes a profit (which is taxed when flow through to his personal). so he's already paid taxes on anything that's in equity.

    i'm not going any further cause it gets messy and i got work to do. just saying that there are very few instances where it's beneficial to have a ton of llc's instead of a few for tax purposes. for legal or other, sure maybe, but i don't know those.

    theharbinater ●

  • brem22 said...

    BLF is correct... However, 'wealth inequality' and how it relates to the state of the economy is a highly, highly complex issue. It matters not a lick how old BLF is, or if he's still in college... You could sit two Nobel prize winning economists at a table to debate the issue and you'd still have two wildly differing opinions as to it's relevance.

    There are two realities that I see as being pretty cut and dry though... The "1%" will always, always, always find a way to shelter income from taxes, especially when they perceive they are carrying an disproportionate amount of the tax burden (relative to the 99%). This has been proven over and over again. Lowering the egregiously onerous corporate tax rates are where we need to begin... Do that and you'd see trillions repatriated (and bound for the US Treasury) practically overnight. There's a reason why Google Ireland Limited exists... It's called "foreign rate differential".

    I was simply pointing out that BLF didn't think 4.9% of your net income is an onerous amount. It then occured to me that he hasn't been paying federal income taxes. I have a feeling that when he reaches the 28% tax bracket he'll start to feel the tax burden. Paying taxes all year, and then still owing thousands sucks azz.

    signature image signature image signature image

    Sir Mix A Lot ●

  • brem22 said...

    BLF is correct... However, 'wealth inequality' and how it relates to the state of the economy is a highly, highly complex issue. It matters not a lick how old BLF is, or if he's still in college... You could sit two Nobel prize winning economists at a table to debate the issue and you'd still have two wildly differing opinions as to it's relevance.

    There are two realities that I see as being pretty cut and dry though... The "1%" will always, always, always find a way to shelter income from taxes, especially when they perceive they are carrying an disproportionate amount of the tax burden (relative to the 99%). This has been proven over and over again. Lowering the egregiously onerous corporate tax rates are where we need to begin... Do that and you'd see trillions repatriated (and bound for the US Treasury) practically overnight. There's a reason why Google Ireland Limited exists... It's called "foreign rate differential".

    Where are they going to go where they can manipulate a government and have it the way they are?

    Their tax rates are already near historically low and they are showing they don't give a rats ass about our middle class.

    This post has been edited 3 times, most recently by MichRedWingFan77412 on 9/19/2012 at 7:34 PM

    signature image signature image signature image

    MichRedWingFan77412 ●

  • If a large corporation such as Walmart were to leave the country, would it be good or bad?

    Would increased tax breaks make them pay the employees more?????????????????????????????????????????????????

    Might it open up a market for others to make some money and pay people better?

    Many huge corporations have cut jobs to ship them overseas, open up factories overseas, etc. Why haven't they moved yet?

    Maybe higher tariffs and reworking taxes that penalize companies more for shifting pay overseas and rewarding companies that utilize US workers is the way to go.

    The US economy was built on a strong middle class buying products that in turn went to companies that spread that money to US workers but now that money they earn does not return to US workers.

    This post was edited by MichRedWingFan77412 on 9/19/2012 at 8:34 PM

    signature image signature image signature image

    MichRedWingFan77412 ●

  • Mich&RedWingFan said...

    Where are they going to go where they can manipulate a government and have it the way they are?

    Their tax rates are already near historically low and they are showing they don't give a rats ass about our middle class.

    Uh... Wha? The US has the highest statutory corporate tax rate in the world. Manipulate the government? No idea what you're talking about..

    brem22 ●

  • Mich&RedWingFan said...

    If a large corporation such as Walmart were to leave the country, would it be good or bad?

    Would increased tax breaks make them pay the employees more?????????????????????????????????????????????????

    Might it open up a market for others to make some money and pay people better?

    Many huge corporations have cut jobs to ship them overseas, open up factories overseas, etc. Why haven't they moved yet?

    Maybe higher tariffs and reworking taxes that penalize companies more for shifting pay overseas and rewarding companies that utilize US workers is the way to go.

    The US economy was built on a strong middle class buying products that in turn went to companies that spread that money to US workers but now that money they earn does not return to US workers.

    Yes, Walmart leaving would be bad

    Yes, increased tax breaks would be beneficial to their work force

    Corporations cut jobs and ship them overseas to remain competitive - but this is a completely different issue

    Higher taxes do not work, and have never worked and penalizing corps for moving jobs overseas is a neat idea in principal, but would never work either - for too many reasons to count.

    Regardless, I wasn't alluding to the beneficial trickle down effect (to the worker) you might see with lower corporate tax rates. I'm simply talking about the trillions of dollars these companies have on their balance sheet that are not subject to US tax. These funds are kept in overseas banks. I'm talking about repatriating these dollars, not repatriating outsourced jobs.

    brem22 ●

  • FL Buckeye said...

    I was simply pointing out that BLF didn't think 4.9% of your net income is an onerous amount. It then occured to me that he hasn't been paying federal income taxes. I have a feeling that when he reaches the 28% tax bracket he'll start to feel the tax burden. Paying taxes all year, and then still owing thousands sucks azz.

    Yep. Solid point.

    brem22 ●

Football Recruiting
Basketball Recruiting
Features
Resources
Connect

247Sports In partnership with CBS Sports