During a speech this week in Chattanooga, TN, President Obama unveiled a series of tax reform initiatives designed to spark jobs. Just one problem: his proposal to lower the corporate rate to 28 percent won’t actually ease the burden of high tax rates for the vast majority of the nation’s job creators – small businesses. Given that inequality, it is not surprising that some of the leading job creators in the small business community rightfully reminded the President that any plan that leaves small business behind is no plan at all. The Wall Street Journal echoed this theme noting there is another way to approach tax reform – without partisanship that picks winners and losers. An editorial in the publication notes, “The real bipartisan reform opportunity would be to get behind the chief Senate and House tax writers, Democrat Max Baucus and Republican Dave Camp. They’ve been holding hearings on tax reform for years…”
The message from small businesses who are individual taxpayers has gotten through loud and clear – any tax reform ought to address job creators of all sizes. It’s only fair.
National Grocers Association
“NGA supports the efforts of Chairmen Camp and Baucus to enact tax reform that is comprehensive. NGA has long said that tax reform must be balanced, fair, equitable, and provide lower rates for both C-Corps and pass-throughs so grocers can continue their commitment to serve their consumers, communities, and employees as they do every day. Simply put, tax reform that does not provide relief for pass-through entities is a non-starter,”
National Federation of Independent Business
“Over 75 percent of all small businesses in the United States are taxed at the individual rate. By focusing on corporate-only reform, the President will disadvantage the innovators, the job creators, and the leading pillars of local communities. Any discussion of tax reform must include both corporate and individual rates so that there is a level playing field for businesses of all sizes.”
Associated Builders and Contractors
“Despite the president’s insistence on dividing the business community, ABC is encouraged by the bipartisan, comprehensive approach by Chairmen Baucus and Camp, and we look forward to working with them to make the tax code fairer, simpler, and more equitable for businesses irrespective of size or industry.”
S Corporation Association
Ways and Means Chairman Camp and Finance Committee Chairman Baucus have both committed to comprehensive tax reform that addresses both the individual and the corporate tax codes because it’s the only way to increase the competitiveness for all US employers while making the tax code more fair and simple.
National Association of Wholesaler-Distributors
“… America’s job creators – now face an income tax rate that rose to more than 40% in January, and yet the President is calling for individual tax rates to be increased yet again. And while offering a reduction in the corporate tax rate, the President offers the millions of small pass-through entities patronizing offers of tax code simplification and more of the type of ‘gift from your government’ incentives that pick winners and losers in the tax code.”