Quote:
Originally Posted by MaDalton
no matter how long your posts are and no matter how many graphs you post:
As a business you don't pay VAT on business expenses - no matter in which European country you are
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You are right -- I checked.
But you pay the VAT and do the paperwork the same as we do ...
Quote:
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Sales Tax Exemption for Industrial Processing -- Certain types of tangible property used by manufacturers -- directly in the industrial process are exempt from -- Michigan’s sales and use tax. Eligible exempt property -- includes machinery, equipment and energy used in an -- industrial process. Industrial processing includes but -- is not limited to production or assembly, research & -- development, engineering, remanufacturing and storage -- of in-process materials. -- Businesses must file an exemption certificate with -- the seller of the tangible personal property – not the -- Michigan Department of Treasury
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so that paperwork cost is the same we just front less money to the game.
Social Security Programs Throughout the World: Europe, 2010 - Czech Republic
I am using this (it's dated the rates may have changed).
Deloitte Touche Tohmatsu Limited, UK quotes theses costs to an employer at 34% of wages paid -- I'll accept their number
In Michigan,USA this costs an employer /employee (the costs are split) *we have to do this on a state level and the state costs will vary a lot.
This discussion is where it is best to operate a business not personal life.
FICA (pension-SSI-Disability) 6.2/6.2 = 12.40% (first $117,000 earned taxable)
Medicare (old age healthcare) 1.45%/1.45% = 2.90%
Healthcare insurance 8% Average Split varies. (more like 10% these days average)
FUTA Tax (Federal Unemployment) 0.6%
Michigan Unemployment Benefits tax 6.8% to 8.1%
Conclusion: 31.4% MI,US v. 34% CZ,EU
About the same
Workman's compensation costs need to be compared too that can be a large burden depending on the employees's work classification. If you are paying on a few employees (or 1000) you feel the cost every month.
There is a lot more to consider than pretty beaches and nice places to live when you are running a business.