Man oh man could you ever game a tax like that. Start a small company and hire your own family at minimum wage would be cheaper than just paying the tax.
That would introduce a ton of perverse incentives.
>> That would introduce a ton of perverse incentives.
That will also solve the unemployment problem and incentivize people to start small businesses. The family members will also have a choice between working minimum wage for their own business or seek a higher paying job, pushing wages higher and higher.
Sounds good to me.
1. Hire more people and get a tax break
2. Innovate and hire less people and have smaller payrolls
Both are win-win for companies and customers and employees.
Today, it is just point 2.