Jim's Weekly Column
Small Business Voices: Let Yours Be Heard
As Congress continues to debate the fiscal cliff and methods to rein in our national debt, we cannot neglect to consider how tax hikes would burden the economic backbone of our country, our small businesses. Last week, I wrote that Congress must address the drivers of our debt, entitlement spending, if we are to avoid a serious crisis. We can’t tax, spend and borrow our way out of this debt.
For that reason, I oppose raising tax rates, which threaten our economy and stunt job creation. Below are a few examples of what small business owners and associations representing these businesses have to say about how tax hikes would hurt their ability to be successful and hire more employees.
If you are a small business owner, make your voice heard. Send me an email today about how a tax hike would affect you and your employees.
David Curliss, Performance Polymer Solutions Inc., Dayton, OH: “I am president and co-owner of an S-Corp providing advanced lightweight polymer and composite materials used in a variety of industries from aerospace to automotive. The President's plan for tax increases will significantly impact our company's growth and financial health. Since founding our company 10 years ago we have grown from 2 to over 20 employees through reinvestment of any profits into manufacturing equipment, quality people, and employee benefits. Higher taxes mean less cash to reinvest - simple as that. We won't be hiring more people and we won't be purchasing equipment to expand the company. This is not complicated, higher taxes retard economic growth.”
Clifford Laverty , Total Radio, Inc. Tulsa, OK: “The Fiscal Cliff, i.e. higher taxes, along with ACA is the only reason we decided to back off constructing a new building and expanding our business. The President thinks that those making over $250,000 can do more than we already do. First, how about the fact that I provide good jobs for over thirty people with benefits. Second, I don't believe that there are only 2% of small businesses that fall into this category. I would say most small businesses are S Corporations which means that company profits flow into their personal incomes. In my opinion, the President's plan is a perfect disincentive for companies to be more profitable and successful.”
National Federation of Independent Business “In the current economic environment, the last thing small businesses should face is a tax increase. Furthermore, NFIB remains adamantly opposed to any fiscal cliff resolution that cuts taxes for large corporations at the expense of small businesses organized as pass-through entities. The expiration of current individual tax rates is particularly important to small businesses because 75 percent of them are organized as pass-through entities that pay taxes at the individual rate. …Raising taxes on small businesses, especially in the current economic environment, stifles their ability to grow and create jobs. Congress must act to avoid this economic hit to over half of the business community that creates two-thirds of net new jobs and employs over half the private sector workforce.”