• Pyr_Pressure@lemmy.ca
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    1 year ago

    Why are people taxed on revenue but companies are taxed on profit?

    I often have 0 profit, if I call myself a company would I pay no taxes?

    • ImplyingImplications@lemmy.ca
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      1 year ago

      You, as a company, would pay no tax. You, as an employee of your company, pay the regular amount of tax you always pay. There’s some loopholes where you as a company can provide yourself as an employee with non-taxable benefits but it seems like more hassle than it’s worth. I have family that have done this and they save very little on taxes but have to file huge complicated returns.