If a sole proprietorship (i.e. one man operation) spent all its revenue on the business, the owner would die. Food is not a business expense. Neither is clothin

If a sole proprietorship (i.e. one man operation) spent all its revenue on the business, the owner would die. Food is not a business expense. Neither is clothing, rent, car, etc. Don't confuse corporations with a large payroll with people who are self employed. > One can argue that higher income tax will actually encourage you to spend more. A higher income tax will actually encourage you to live in a cardboard box. You will have to purchase that box, so in that way, I suppose you're right.