General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsShould working from home be taxed?
Should remote workers be taxed?
Those who work from home are getting a free ride, argues a new analysis from Deutsche Bank, and the economic ills that have been exposed by the sudden migration of roughly half the workforce to their living rooms rather than offices should be partially offset by a tax.
The sudden shift to WFH means that, for the first time in history, a big chunk of people have disconnected themselves from the face-to-face world yet are still leading a full economic life, wrote strategist Luke Templeman. That means remote workers are contributing less to the infrastructure of the economy whilst still receiving its benefits.
Were all familiar with the infrastructure Templeman refers to. Huge swathes of downtown office real estate sit empty, along with their computer networks and utility hook-ups. Transportation systems designed with double the farebox revenue in mind are in serious financial distress.
On the other hand, the benefits to those workers able to do their jobs from home are quite large, Templeman argues.
WFH offers direct financial savings on expenses such as travel, lunch, clothes, and cleaning, he said. Add to these the indirect savings via forgone socializing and other expenses that would have been incurred had a worker been in the office. Then there are the intangible benefits of working from home, such as greater job security, convenience, and flexibility. There is also the benefit of additional safety.
https://www.marketwatch.com/story/should-working-from-home-be-taxed-11605027448
Actually, no. This is just the normal "creative destruction" of a free market economy. How quickly they abandon their principles.
And was "socializing" in anybody's job description?
Hugin
(33,142 posts)
That means remote workers are contributing less to the infrastructure of the economy whilst still receiving its benefits.
They're only upset the little people are cutting into their gig.
MineralMan
(146,308 posts)We pay income tax on our earnings, just like everyone else, but we have far fewer business expenses we can deduct, so more of our gross income goes out in taxes. Also, we pay the self-employment tax, which comes to over 18%. That includes the Social Security and Medicare taxes, part of which is paid by employers for those who are not self-employed.
Our heating and other utility bills are also higher, since we are home and must pay for them full-time. We must also pay 100% of our health insurance costs, rather than having part of it paid by employers. That is a big hit, I can tell you.
This is ridiculous.
mr_lebowski
(33,643 posts)Like, you work for IBM and would've normally gone to work at an office 5 days a week but now you don't anymore.
MineralMan
(146,308 posts)That was a bogus whine, however you look at it.
mr_lebowski
(33,643 posts)tinrobot
(10,900 posts)I thought not.
But hey, we're not doing dry cleaning anymore, so tax the hell out of us.
lastlib
(23,233 posts)When my company asked a bunch of us to work from home, I asked the manager how much the company would be paying me for renting my home office space. Manager got annoyed at the question, and when I pressed it, he told me I may not have a job if I kept asking and didn't "play ball".
getagrip_already
(14,750 posts)If ANYTHING, workers should get a forced stipend when they work at home.
I've worked remotely for 10 plus years, my wife for 30 plus years (in high tech as a consultant, not craft work). If anything, I've shouldered costs that my employer no longer has to pay for.
I pay my own heat, electricity, and internet. I buy my own networking gear. and office equipment. I dedicate a room in my house to work so I'm not disturbed.
Sure, I can take a tax deduction, but only people who itemize can do that.
This is appalling. Deutche bank has a lot to answer for. Hopefully they will simply cease to exist for their crimes.
BSdetect
(8,998 posts)The benefits to the economy outweigh any imagined negatives.
How about taxing the super rich to "balance the budget".
Just_Vote_Dem
(2,808 posts)Do a little Googling on the adventures of Deutsche Bank and see what you find
Raster
(20,998 posts)...for Russian* money laundering? That #DoucheBank*?
flibbitygiblets
(7,220 posts)Or fuck off.
Laelth
(32,017 posts)Theyre not using the infrastructure any longer, so theres an argument to be made that they should not have to pay for its maintenance. I am not particularly fond of this argument, but it makes more sense than arguing that they should be taxed MORE just because theyre NOT using the infrastructure.
-Laelth
genxlib
(5,526 posts)So they are already calibrated to level of use. They are already getting a tax break on those things.
Mike 03
(16,616 posts)It's better for the environment, removes wear and tear from the roads, helps with traffic congestion. It might even be good socially, for parent/child relationships. People working at home might eat out less. Pets are happier when their mommies and daddies are home.
If this becomes common, maybe people won't need to buy cars every few years.
(I'm not a tax expert, just brainstorming).
the orange menace's tax bill removed the home office deduction.
Happy Hoosier
(7,308 posts)Between my wife and I we have two whole rooms in our house dedicated as work spaces. Our power bill is higher. I have to provide my own office furniture. WTF does the vampires want?
Hotler
(11,421 posts)Businesses I work for report what they pay me. Freedom isn't free. Pay your taxes.
bluecollar2
(3,622 posts)Will do anything to extract money from the working class.
I hope we can find a way to finally rein in their abuses.
genxlib
(5,526 posts)That is an idiotic take.
There are pros and cons to WFH (as he dubs it) but people saving money is a pro.
To the degree that it affects private business like commercial landlords, restaurants and dry cleaners, that is an unfortunate side effect that would not be changed by taxes.
To the degree that it affects the Government, losses in transit fares and gas taxes is a pittance compared to the losses of those same people not being able to work at all. Over time, those reductions in gas taxes will get reflected in the actual need for maintenance and expansion of the roads. Not to mention, the benefits to the environment.
I am in favor of getting people back into the work place when safe because I think this model sucks for human interaction, mentoring, interviewing, etc. But taxes? no.
mr_lebowski
(33,643 posts)related to people traveling to, and working out of, workplaces that are not their own home ... and hence how badly they are getting hit in the pocketbook by WFH?
One might wonder what their motives might be in causing people to be disinclined towards the whole WFH thing.
Let me also add one could easily see this matter eventually becoming a socially divisive issue. Not the taxes part they're talking about, but it's another 'haves vs have-nots' wedge that can be driven among the population.
Klaralven
(7,510 posts)City center office towers and retail space won't recover anytime soon.
Warehouse space for online shopping goods distribution and data center space for the cloud is at a premium.
Spazito
(50,338 posts)This has GOT to be satire!
Takket
(21,568 posts)For gross incompetence.