[oceanswave]

Cash bonuses based on ‘performance’ are tax deductable, so just another way of corporations to reduce tax liability.

[gruez]

>Cash bonuses based on ‘performance’ are tax deductable

AFAIK cash bonuses aren't treated any differently than any other business expense. Paying a $1M bonus to an employee or to a client (because you lost their $1M) is the same from a tax point of view.

[octoberfranklin]

Dude, all employee compensation is deductible.

Payroll is many businesses' main expense.

The company doesn't pay tax on those dollars, but then the employee does.

[thaumasiotes]

> The company doesn't pay tax on those dollars, but then the employee does.

US payroll taxes are notionally assessed half on the company and half on the employee.

[srtjstjsj]

Only up to about $10k/person max payroll tax.

[octoberfranklin]

That's payroll tax, not income tax.