That is basically why the Standard Deduction exists.

Yes, and businesses do also pay taxes on more than their profits. Payroll tax is a huge one.

Payroll tax is not a tax on business, it’s also a tax on workers, it’s just business is deducting it automatically, and paying it to government, to reduce the amount of transactions.

Yes and no. You’re right not course that part of pay is withheld and paid as tax, but that isn’t what I was referring to. There is an additional component, beyond what is withheld from employee pay, which is paid directly from the business to the state which the employee never sees. It’s a similar amount.

Yeah but even that is sort of a tax on employees

When our business decides how much we can afford to pay someone for a position, the math is always with what that payroll tax is included.

So without the payroll tax we may be able to afford paying someone $25/hour.

With it we may only be able to afford to pay them $22/hour.

It reduces the amount we can afford to pay the employee, even though it’s technically never given to them in the first place it’s money that could have gone to them.

I would love to pay more but that tax takes it out of my hands.

But that doesn’t mean it’s a tax on the employee. That’s like saying sales tax is on the business, when it’s actually on the customer.

That’s, like, completely the opposite of the argument. Saying that payroll tax is a tax on business is like saying sales tax is a tax on business. In both cases, the tax is paid from the money that otherwise could come to a human, it’s just business is deducting it automatically.

In both cases, the tax is paid from the money that otherwise could come to a human, it’s just business is deducting it automatically.

Sales tax is paid by the customer, not the business. I … don’t know why you think it’s automatically deducted by the business? Unless you mean B2B purchases

Do you, a person buying your whatever the fuck, then later sending a separate transfer to the government with sales tax? Or, if you’re paying cash, do you later set your sales tax for that purchase aside and send it to the government in a separate envelope?