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**Izzy** · 08-17-2012, 05:42 AM

This wouldn't be a problem if the businesses were generating enough revenues. That has been my point.

And tax collectors in the US do the same, even on 940/941 and sales tax delinquencies. They cut businesses slack all the time, to a point. Unless, of course, they catch you using the $$$ for personal gain and not because of lowered revenues.

They won't, however, cut you any slack on the principle. Maybe, maybe a little on the penalties and interest.

They will lower the boom on fraud.

So, once again, you've shed NO light on this mysterious Dominican business model.

(BTW: you admit that tax collection can hurt the Dominican economy. Why, it seems like just yesterday where you waxed at length about the future of tax collection which will cause evasion to just vanish. Again, you want it both ways: the gubmint wants to help businesses with tax issues because aggressive enforcement hurts economic growth, but they will be implementing policies which will force the HUGE tax-free underground economy into the sunlight with aggressive collections.)

No Robert! This doesn't happen because the businesses fail to generate enough revenues, but because the tax hike implied by the spike on costs, almost instantly eats well into the cushion on appreciated values some business can only afford to pre-set their goods to. These types of business don't have the same flexibility to cushion their inventory price index due to too much competition (think of three to four Colmados in the same block to follow up on the exampled business I picked upon to illustrate the DR model for you guys here), type of goods or if shelf life makes it impractical to attempt to.

As for tax issues? Nice try, but no. The IRS will not let you off because you claim things are tough and you fail to prove that it afflicts your ability to pay them. They will treat you the same as they do business that fail to pay on time!

If you guys took to learn a bit and didn't instantly apply your foreign first world knowledge on business to discredit on the spot, you would learn a lot about the Dominican business model at the heart of it all.

It's late, I need to eat something and walk a few before hitting the sack...

08-17-2012, 05:42 AM	#38
Izzy Join Date Oct 2005 Posts 652 Senior Member	This wouldn't be a problem if the businesses were generating enough revenues. That has been my point. And tax collectors in the US do the same, even on 940/941 and sales tax delinquencies. They cut businesses slack all the time, to a point. Unless, of course, they catch you using the $$$ for personal gain and not because of lowered revenues. They won't, however, cut you any slack on the principle. Maybe, maybe a little on the penalties and interest. They will lower the boom on fraud. So, once again, you've shed NO light on this mysterious Dominican business model. (BTW: you admit that tax collection can hurt the Dominican economy. Why, it seems like just yesterday where you waxed at length about the future of tax collection which will cause evasion to just vanish. Again, you want it both ways: the gubmint wants to help businesses with tax issues because aggressive enforcement hurts economic growth, but they will be implementing policies which will force the HUGE tax-free underground economy into the sunlight with aggressive collections.) No Robert! This doesn't happen because the businesses fail to generate enough revenues, but because the tax hike implied by the spike on costs, almost instantly eats well into the cushion on appreciated values some business can only afford to pre-set their goods to. These types of business don't have the same flexibility to cushion their inventory price index due to too much competition (think of three to four Colmados in the same block to follow up on the exampled business I picked upon to illustrate the DR model for you guys here), type of goods or if shelf life makes it impractical to attempt to. As for tax issues? Nice try, but no. The IRS will not let you off because you claim things are tough and you fail to prove that it afflicts your ability to pay them. They will treat you the same as they do business that fail to pay on time! If you guys took to learn a bit and didn't instantly apply your foreign first world knowledge on business to discredit on the spot, you would learn a lot about the Dominican business model at the heart of it all. It's late, I need to eat something and walk a few before hitting the sack...
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