"Come to think of it, no businessman ever does, it makes no sense from a purely practical point of view. Those profits are just that, profits."

So I don't think this is really true. At least not in my experience at the small business level. My experience is limited to a single 30 person Architecture firm, but at least in this one case, my company shares profits out to all employees at year's end. I've been with the firm 19 years, with the last year in a management position. I started as a lowly drafter in '99, so I have had a view from the bottom and up through the ranks to becoming a licensed architect, then as an associate.

While the amounts each individual receives is kept secret, the last few years they have informed everyone what the overall take was as an effort to increase productivity. Some basic math tells me that there isn't hoarding by the owners when it comes to bonuses.

Maybe mine is an isolated case, and it may very well be. There is a reason I haven't ever changed firms and its because I have always felt taken care of. Then again, architects are typically terrible businessmen, so perhaps it really is atypical, and "real" businessmen are raking it in hand over fist.

I am curious what sort of change the tax "reform" will have on us. Currently we are an S corp so taxes pass through to the individuals receiving the profits. It's probably why there is so much profit sharing. Profit sharing is also tax sharing in an S corp. With a lower corp tax rate it might justify a classification change, in which case who knows what might happen to our current profit sharing model. I am no expert on taxation though, so take my comments with a grain of salt.

I agree with pretty much everything else you wrote, and think history will probably judge this tax cut to be another corporate giveaway without a tangible benefit to the economy or working stiff.