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There are other taxes and fees that add up. The State of California levies an $800 annual tax on every LLC doing business in the state, for example.
by hardcandy 11y ago
There are other taxes and fees that add up. The State of California levies an $800 annual tax on every LLC doing business in the state, for example.
- encoderer 11y agoBut that doesn't show up on your tax return. The commenter I replied to has repeated a common trope that there are small business owners who would be hurt by considering $250k as wealthy because of a quirk in our tax code (pass thru taxation). It's a canard because if you own half of a business making $500k in profit nobody should be worried about your tax bill. Income or not, you own a profitable business that is worth a lot of money. And he suggested that you pay taxes on money you invest back into the business which is not true. You pay taxes on your profits not your revenue.