ThePromotionalGuy.com
June 12, 2010, 11:25 AM
Thanks Gordon,
I've been following this topic closely and with great interest. Here is an excerpt from the Wall Street Journal:
"On or about Jan. 1, 2011, federal, state and local tax rates are scheduled to rise quite sharply. President George W. Bush's tax cuts expire on that date, meaning that the highest federal personal income tax rate will go 39.6% from 35%, the highest federal dividend tax rate pops up to 39.6% from 15%, the capital gains tax rate to 20% from 15%, and the estate tax rate to 55% from zero. Lots and lots of other changes will also occur as a result of the sunset provision in the Bush tax cuts."
Here is the full story: Arthur Laffer: Tax Hikes and the 2011 Economic Collapse (http://online.wsj.com/article/SB10001424052748704113504575264513748386610.html?m od=WSJ_latestheadlines)
I bring this to everyone's attention so you can start to prepare for what will happen in your area. As history has shown us, and us old timers can confirm, when taxes go up, consumers start getting more selective in what they spend their monies on.
Meaning, smaller businesses will find themselves struggling even more to keep their current rates in place because consumers have less disposable income. When there is less disposable income, consumers are more aggressive about asking for discounts.
Now is the time to start reconnecting with previous customers. Make yourself more accessible. Start reaching out to them either through direct mail, email or stopping by their location as a courtesy call.
Just don't sit back and wait to see what happens. Because if it does turn out bad, you'll have lost 7 months to prepare. If nothing happens, you've still come out on top, because your previous customers have been reminded about you and your company.
I've been following this topic closely and with great interest. Here is an excerpt from the Wall Street Journal:
"On or about Jan. 1, 2011, federal, state and local tax rates are scheduled to rise quite sharply. President George W. Bush's tax cuts expire on that date, meaning that the highest federal personal income tax rate will go 39.6% from 35%, the highest federal dividend tax rate pops up to 39.6% from 15%, the capital gains tax rate to 20% from 15%, and the estate tax rate to 55% from zero. Lots and lots of other changes will also occur as a result of the sunset provision in the Bush tax cuts."
Here is the full story: Arthur Laffer: Tax Hikes and the 2011 Economic Collapse (http://online.wsj.com/article/SB10001424052748704113504575264513748386610.html?m od=WSJ_latestheadlines)
I bring this to everyone's attention so you can start to prepare for what will happen in your area. As history has shown us, and us old timers can confirm, when taxes go up, consumers start getting more selective in what they spend their monies on.
Meaning, smaller businesses will find themselves struggling even more to keep their current rates in place because consumers have less disposable income. When there is less disposable income, consumers are more aggressive about asking for discounts.
Now is the time to start reconnecting with previous customers. Make yourself more accessible. Start reaching out to them either through direct mail, email or stopping by their location as a courtesy call.
Just don't sit back and wait to see what happens. Because if it does turn out bad, you'll have lost 7 months to prepare. If nothing happens, you've still come out on top, because your previous customers have been reminded about you and your company.
