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WHAT THEY’RE SAYING: Under Biden’s Reconciliation Bill, Family Businesses Face Highest Tax Rates in the Developed World

November 04, 2021

President Biden’s “tax increases … would make a bad situation worse and encourage continued consolidation of economic power and decision making,” according to a letter from over 100 major trade associations urging Congress to reject President Biden’s multi-trillion-dollar tax and spending bill. “Having survived the pandemic, family businesses” are under strain with “rising inflation, labor shortages, and supply-chain disruptions.”

 

Key Excerpts: 

 

  • “Higher tax rates … would harm tens of thousands of modestly sized family businesses located across the country.”
  • “The Tax Foundation estimates they will push the marginal rates of family businesses making more than $500,000 to over 50 percent. 
  • “When coupled with state and local levies, these rates hikes will result in the family businesses facing the highest marginal rates in the OECD, exceeding 57 percent.”
  • “The tax increases … would make a bad situation worse and encourage continued consolidation of economic power and decision making. Large, multi-national corporations have thrived during the pandemic. [Democrats’ proposals] would tilt the rules further in their favor and away from locally- and family-owned businesses.”

 

CLICK HERE to read the full letter.

 

KEY TAKEAWAYS:

  • Americans are questioning President Biden’s competence to heal the economy as he remains nearly 1 million jobs short than he promised as part of his $2 trillion so-called stimulus in March. His reconciliation bill will only sabotage the economy further with these $1.2 trillion dollars of tax hikes on America’s job creators and spending putting American families further behind with Bidenflation.
  • Under Biden’s plan, small businesses will bear the burden of being hit by over $400 billion in taxes. Some could pay as high as 57 percent — the highest tax rate in the developed world. This means Washington has a greater claim over your earnings than you do.

 

READ: UPDATED: Democrats’ Latest Crippling Tax Hikes Punish Workers & Families, Send Jobs Overseas, Crush Small Business, & Make Labor Shortage Worse

READ: Biden in the House: What’s He Selling?