I thought wages were deductible anyway. Say you pay a developer $250,000 a year.... | Hacker News

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		gscott 7 months ago \| parent \| context \| favorite \| on: The time bomb in the tax code that's fueling mass ... I thought wages were deductible anyway. Say you pay a developer $250,000 a year. The employee pays the tax on their own wages.

notimetorelax 7 months ago | [–]

No, not in this case. 250k is an expense for the company. Company had to amortize this expense over 5 or 15 years. (15 for software engineers outside of the US)

Tade0 7 months ago | | [–]

> (15 for software engineers outside of the US)

Yikes. Does that apply to outsourcing?

walterbell 7 months ago | [–]

W2 salary is different from fully loaded labor cost.

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