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AI employees don't pay taxes

alec.is

21–30 of 190 posts

Re: AI employees don't pay taxes

#21
> Reality: It’s not fear; it’s math. If 30% of the workforce is displaced, and the remaining 70% have to pay for the social safety net (or UBI) required to keep the displaced alive, the math breaks.

What evidence does the author have that 30% of the workforce will be displaced (not to mention unable to find another job)? The author also doesn't seem to take into account that AI is also making new jobs: https://www.economist.com/business/2025/12/14/job-apocalypse...

Re: AI employees don't pay taxes

#23
post #9
post #6

Earlier quoted context omitted.

Why is it that every year we are capable of producing more, but we keep asking people to accept less? Like how is “we can replace all workers with AI agents” not compatible with “we can extract enough wealth from the new profitability to sustain everyone at the current rate as a service(UBI)” If we’re more productive after replacing everyone with machines then why can’t we just cover everyone’s basic(victuals/housing…

Until people stand up and start setting things on fire, what else do you think is going to happen?

As JFK said, "Those who make peaceful revolution impossible will make violent revolution inevitable."

Re: AI employees don't pay taxes

#24
We are once again wildly overstating the capabilities of LLMs. They'll cause some minor economic rearrangement in the next ten years but slightly better search isn't going to cause mass unemployment any time soon. This is just propaganda from the "AI" industry to further the perception that they've created a machine god. Wake me up when ClosedAI goes bankrupt.

Re: AI employees don't pay taxes

#25
Payroll taxes are inefficient as they discourage work and increase its cost for employers, leading to lower hiring. If payroll taxes vanishes because of AI, it doesn't mean that we should stop using it to increase productivity, but rather reorient taxes.

For instance, land value tax or consumption taxes are often seen as more efficient and fair, depending on their implementation. They also are AI-proof.

Re: AI employees don't pay taxes

#28

ubi just doesn't make any sense. case in point is the overwhelming negative response to the laptop 4G program in NYC with the Chromebooks. virtually every comment said it makes more sense for such a thing to be means tested and it was a waste of money since most people already had internet at their house. how ironic - if that's the attitude on this forum of all places about table stakes, imagine the reaction when you…

The flipside is that some corporation is getting a massive handout for a technology contract like that, and the actual utility benefit to most people is low. You could spend the same exact amount of money directly on UBI cash and be much more effective by letting people spend money on whatever they need.

Re: AI employees don't pay taxes

#29

The easiest play is for the people to own the infrastructure AI runs on, then pay for social benefits out of infrastructure rental agreements. The cloud is massively profitable, and the federal government has a real competitive advantage compared to private parties in terms of large buildouts.

Even easier if they just own the AI companies in the first place. Make them go public, and, if you're feeling especially redistributive, spend $X of public funds to purchase stock spread equally amongst americans/humans/sentient creatures.

Re: AI employees don't pay taxes

#30
post #4

There is no credible model for UBI anywhere from AI. It's not going to be paid for by anyone, anywhere. Petrostates including Alaska can pay one, sort of, but they are not replacing people with automation, and their largesse won't last forever. The model of capitalism is to pay for labor and avoid taxes and fees at almost all costs. AI-enabled businesses will not seek to contribute any more to UBI than they seek to c…

just change the tax code to be progressive based on earnings per employee...

Can you explain the mechanics of this? Fewer employees means higher tax?
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