Exactly, governments are incentivizing transactions: “if you borrow and spend in the real economy then it offsets what you pay us, here are a few perks to help

Exactly, governments are incentivizing transactions: “if you borrow and spend in the real economy then it offsets what you pay us, here are a few perks to help that along.” People also dont seem to understand that a limited partnership can borrow other people’s money, have overhead costs and also pay you a salary+distributions, but the partnership tax returns passes all the overhead costs to your personal tax return showing a big “loss” while not showing you personally made money that year because the losses naturally eclipse that. You can still buy a mansion in all cash and not be in debt and not have anything to pay governments. Doesn't take an army of accountants and lawyers to understand that. Well, except for the people that think they need an army of accountants and lawyers to form a Limited Partnership.