I have a hard time understanding why this so bad and the article does nothing to explain it. As I understand it companies only pay taxes on their profits, which generally speaking is what's left after expenses, including salaries, are subtracted. If that's the case then why would higher taxes on profits force a company out of business or to layoff staff. If anything layoffs would tend to have the short term effect of increasing profits, which would only further increase taxes.
I can understand how a sudden unexpected change to the tax code could catch people off guard and cause short term problems but overall I don't see why this particular change should be so devastating once any transient effects have been absorbed.
I can understand how a sudden unexpected change to the tax code could catch people off guard and cause short term problems but overall I don't see why this particular change should be so devastating once any transient effects have been absorbed.