Debt Reduction and The Stamp Business

Many ideas have been floating around about the deal Republicans and Democrats will hash out over the debt ceiling limit but it appears that some kind of grand plan to both cut government expenditures and raise taxes (by whatever name they call it) is in the works. And really, such a solution is probably fairest. Any compromise in which both sides think that the other side got the better deal is probably a just one and judging by the outrage being generated on both sides it looks like such a deal will be fair indeed. The effect on our clients’ stamp businesses of such a deal will be positive. Any increase in taxes and tax rates or decrease in personal deductions increases the value of having a business as small businesses are excellent ways of sheltering income and of business driven tax preferences. Take health care for instance. It seems likely that any deal will involve seniors paying an increased premium for their health insurance. Retired seniors must pay this out of their social security or retirement income and it is not tax deductible. Seniors who have small stamp businesses, selling on EBay or through APS stamp circuits, can pay such premiums from their companies on a tax deductible basis. There are numerous other benefits as well. It’s not a reason to become a stamp dealer if you are a collector but if you have a small stamp business in retirement your prospects just got a little brighter.