Ummm…ummm…ummm…gee, this is kinda hard (not really), but let’s look at what this tax does as it exists right now:

If you have a business, and you hold inventory, SOMEONE has to finance that inventory without getting cash flow INTO the business. That’s kinda the definition of “inventory.” It is work-product or merchandise that someone else has not yet purchased from the business.

If YOU (or whoever the business owner is) are the one financing that inventory, you have cash going out the door without cash coming in the door to help you cover the costs of that inventory.

If you have to pay taxes on the assessed value of that inventory, then whether or not you EVER sell that inventory, you have to cough-up a check to ye old State Government because they think you owe THEM money just for holding inventory to sell.

SO, for how ever many years the state has been requiring you to pay a tax on your inventory, they have legally been stealing your working capital that you use to maintain the operations of the business. (Note: If you have never had a business course OR you are like Jay Bookman/Cynthia Tucker/Barrack Obama/Joe Biden et al., who have no freaking clue as to how business really works, you will never get this concept of “working capital”).

AND…if you have no “working capital” financed by, say, a bank or your own cash or your own credit cards, you’re screwed as far as being able to continue to run your business. Does the State care if you are able to continue running your business? No, not really. Screw you, they want their money and they don’t care about you.

BUT, this Ballot Referendum removes the power from the State to destroy your business. Quite frankly, we are more in favor of doing away with ad valorem taxes than we are about doing away with income taxes. Because income taxes are at least based on some net value of revenue minus expenses. Ad valorem taxes require you to pay whether or not you experience a profit.

PV Recommendation: Vote YES to Ballot Referendum to exempt Business Inventory from State Ad Valorem Taxation

The more we decrease the guvment from taxing us, the less control they have over our lives. This is, truly, a No-Brainer…unless you’re a Barrack Obama Liberal…and, you just have straw stuffed in that cranial space like Scarecrow in the Wizard of Oz.

This entry was posted by Bill Simon, on Friday, October 8th, 2010 at 6:04 pm and is filed under Rumors and Tagged: Business Ad Valorem Taxes
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