Hi,
Today I read an interesting email, and I think I couldn’t agree more. Profit isn’t a dirty word. The jist of the email, is that some think that businesses need to be taxed harder and heavier.
Seeing we are heading into an election, we need to think about something:- most jobs are in the private sector, and as such, these businesses need to be supported.
Why? We need a strong business sector in order to provide jobs. Jobs survive, because business survives. Jobs are lost when businesses fail.
To ensure a business doesn’t fail, it needs to be profitable, and in turn they can create jobs and employ staff. Yet it seems, that many seem to expect businesses to employ staff irrespective of profitability.
Should we care if/when a business is successful – yes, we can then tax them.
Should we care if a business fails – no. Apart from the lost jobs, but then whose fault is it? Poor management? High Taxes? High Wages?
Generally, the public sector doesn’t know what it means to run a business, and most unions I think have forgotten it as well. The restrictions place on business (regulatory, form filling, taxation etc) can make it hard to be profitable. Yet we need them, they are the lifeblood of the community and nation.
Government’s role is to ensure that the business environment is healthy (and not restrict them, as we have seen form some legislation imposed, mainly at the whim of unions to prop up their membership and put small owners out of business).