Taxes and Fees Prevent Raises

Taxes are once again in the frontal lobe of the news, US Congress, State of Oregon legislature, and local city’s legislative bodies. There are reasons to have taxes, and fees, in communities that assist everyone in everyday life. This is not a debate, or a treatise, about taxes. This is not a discussion about basic wages, or other things groups of people think businesses should pay for.

Rather, this is a reminder that when government mandates that a business, or group of businesses, pay for things. The money that the business uses to afford the taxes, and fees, prevents the businesses from using their income for other things.

The other things that the taxes, and fees, could be used for are: bonuses distributed to the employees, new roof for the building that the business is in, upgrading the breakroom, purchasing new equipment for employees to use, raises given to the employees, work place safety, improvements to the workspaces, employee training, increased amounts given to the employee for retirement. Just to name a few.

When government increases taxes, creates new taxes, or increases fees, the business has three choices. 1. Go out of business. Why put up with government interference, increased red tape, reporting requirements. The down side is that it puts people out of work. 2. fire one or more employees, spread what they were making out among the employees still working. The down side is that it puts some people out of work. 3. Raise prices for the services, or goods, that the business offers. The down side is that patrons of the business will procure those goods, or services, from a competitor business which causes loss of income which leads to employee layoffs.

In your quest, as an elected official, is to ensure that the government you are part of doesn’t put people out of work, or increase the misery of the people you have been elected to govern. As a representative, of the people that voted to put you in office, you should seek the best benefit for the most people. A good mantra would be “if the rich man can do it, the poor man can do it. No one should be priced out of an income or basic needs due to the taxes, or fees, that government puts in place”.

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