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To: lewislynn

"One employee or ten zillion employee's at 7.65% is still only 7.65%...Why is that so difficult for you to grasp?"

Why is the concept of a supply chain and taxes accumulating within it so difficult for you to grasp?


261 posted on 02/15/2005 4:23:56 AM PST by phil_will1
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To: phil_will1
Why is the concept of a supply chain and taxes accumulating within it so difficult for you to grasp

Give an example of "accumlating" payroll taxes within a supply chain....

Maybe you could do the one where you say prices are "well over 99% tax"...do that one.

Here's one:

$1 million in gross sales

Minus $500,000 gross labor = $38,250 employer paid payroll tax

$500,000 minus cost of goods (from the supply chain) sold $250,000

$150,000 overhead

$100,000 profit

35% tax on $100,000 = $35,000

$35,000 + $38,250 = $73,250

Percentage of possible price reduction = 7.325%

That's a long ways from 30% or even 20%

328 posted on 02/15/2005 8:34:29 AM PST by lewislynn (The meaning of life can be described in one word...Grandchildren)
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