Friday, November 11, 2011

Tax Breaks For Suckers

Been sitting here reading various news articles and I wanted to get another business blog post up. The Senate just recently passed a bill, here, that gives tax breaks for hiring unemployed veterans. Before I go any further, I am 159.99% for helping veterans find a job. The problem is that tax breaks do not help the underlying issues. If you cut your finger off a bandage isn't going to fix the problem. What's the issue?


Giving tax breaks to any company does nothing for the demand of products. I work in an office that supplies companies with office furniture and if we hired an extra person, what good would that do us?

Tax breaks are also deferred and that won't help a small business. Bringing on more workers has hard-costs, like payroll taxes and soft-costs such as training the individual. What good will that tax break do now?

Passing tax breaks like this are safe and feel good. Who doesn't love that?

Republicans are so focused on tax breaks that they won't look for better solutions. Democrats are so focused on tax issues for the rich that they miss the mark. I'm not one who believes the Government cannot help but they must find solutions for the real problem.

That brings up another question, what could the Government do to help demand? Trade is always great but we must be careful of other countries work standards so as not to hurt American workers. Will investing in infrastructure solve our issues? I don't know the answer to our problems, and to be honest, I am glad that I don't have to be the one to make these decisions. I wonder, could any of us citizens who throw peanuts from the sideline really come up with solutions for our countries problems?

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