The Taxman Cometh, part 2

Curt Massie is the proprietor of Tumbleweeds Bar and Grill in Monroe, North Carolina. He writes to comment on our post “If the editors of the New York Times were high school students, they would flunk.” Mr. Massie writes:

I’m the “president” of curjan llc. That’s the fancy corporation name for my bar/restaurant Tumbleweeds Bar and Grill. I wanted to weigh in on the supposed “corporate” taxes that I must owe according to the New York Times.

In my line of business I’d be considered pretty successful. My place is 4,400 square feet and I grossed just above $1,000,000 last year. My payroll taxes and my retail sales tax total alone take up 19% of my GROSS. Payroll and rent and utilities are another 30%. That’s half of my GROSS before I’ve bought any product to sell to the public, much less my insurance (which is $20,000 a year) and licenses. My question to the New York Times is where am I supposed to pull out the “corporate taxes” from???

Wheter or not Mr. Massie’s limited liability company is treated as a corporation for tax purposes and whether or not the numbers compute exactly, his question would also be a good one for Senators Levin and Dorgan, who commissioned the GAO study that the Times promoted here.

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