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Old 09-07-2010, 09:31 AM   #126
Flames Fan, Ph.D.
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Quote:
Originally Posted by Canada 02 View Post
more likely, he's talking about a hard number as opposed to a percentage. He was paying $10000 in taxes, and is now paying $70000 for example.

He does say revenues doubled, leading to the hiring of two additional agents - presumably this increased business for him allowing him to earn more money, possibly pusing him into a higher tax bracket, consequently paying more in taxes
I have no doubt that the business owner was talking about hard numbers.

However, those hard numbers are still based on a tax rate.

Use your example and try to back-calculate a reasonable tax rate that increases his absolute taxes seven fold to $70,000. You'll see the inherent silliness in the WaPo example.
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