If taxes on the poor were gone and Co. could deduct employees?

Question

would this end poverty?

Lets say the Fed and state standard deductions were raised to 30,000 and companies could deduct low wage employees off their taxes. Would this creat full employment and end poverty?

Answer 1

Nope. As long as there aren't enough "good" job for everyone there is always going to be unemployment. Not all unemployment are involuntary.

Best wishes.

Answer 2

I believe most expenses are already deductible, and all employees are expenses. Companies add employees to help make a profit are increase their profits , with the global business, it is hard for companies to compete with the wages we have, even though they have fallen for the last several years. I'm sure 22 million illegals the government has let in our country didn't have anything to do with the reduce wages , along with the shutting down of our industrial base companies that have moved out of the USA. Do you recall the 15% tax the oversea companies could send home, instead of the normal 35%. Was suppose to create all kinds of wonderful things for us here in America, HA HA I haven't seen a thing, but the rich getting richer. When all the lower interest rates are gone and everyone has maxed there credit cards, this is when the false spokes of the wheel will crater, and more than likely none of us will have a job. Good luck to all. Doing business with, or in, the USA is a privilege, they pay taxes for this, being an American has many rights, and they should be no taxes on rights . If they don't help. vote them out, until we get it right again!

Answer 3

Poverty will end when the world literally ends. I don't know what you mean by companies deducting low wage employees. ALL wages are deducted as business expenses. By any historic or global measure, the US currently HAS full employment. Poverty is NOT an economic condition. It is an ATTITUDE. The proof of that statement is all the LEGAL immigrants that come with ZERO assets and little of no English and open businesses that make them millionaires.

Answer 4

No, because there will still be people who would not work. Federal taxes are already gone for the working poor. It all depends on the state your are in, some don't have income taxes and some don't tax the poor.

As far as Companies deducting off their taxes, businesses were given the opportunity to get a tax credit back in the Reagan era, but it met lukewarm reception and was never held on to. Of course it was a very watered down bill. Plus there were cries of corporate welfare, etc.

My personal issue is with income taxes all together. It doesn't matter where the tax enters, it is the consumer that pays all the taxes right now. So eliminate the middle man and go with a national sales tax to collect 100% of the taxes.

Answer 5

Companies already get a deduction for all wages paid to all employees. About all a $30,000 standard deduction would do would be to force the tax rates to be raised to offset the lost revenue. Most of the positive impact would be for low to moderate wage earners while the wealthy would take a bigger hit. Hmmm... Maybe you're on to something!

Answer 6

Well, since low-income people pay practically nothing in taxes anyways, I don't see how that's possible.

All it would do is prevent anyone from WANTING to make more than 30,000, and no company would want to pay anyone anymore than this.

Nice try. Bad idea. Real bad. Poor people pay so little taxes right now I can't see how you can argue they should pay less.

Answer 7

if every one got the same pay would every one be poor? unless every one got the same some one has to get less he who has the least is poor in this country most of the people are not poor if compared to the other very poor countys its better to be poor here than in a really poor country