The Numbers Are Clear: The President's Proposal Is Destructive To Small Businesses
Dec 13, 2012 -
The Numbers Are Clear...
President Obama’s Proposal to Raise Tax Rates
Destructive to Small Businesses
In the midst of negotiations between the White House and Congress on a framework to provide for long-term deficit reduction, the President is calling for an increase on tax rates for earners in the highest two brackets. While many see this as a simple tax increase on the wealthy, it is actually a tax hike on small businesses that are considered “pass-through” entities, where business income is passed through to the personal returns of the owner for taxation.
Pass-through businesses are a large part of the economy:
• Nearly 95% of businesses in the U.S. are “pass-through” entities.
• Pass-through businesses employ 54% of the private sector work force.
The President’s proposed income tax hikes for the highest two brackets would:
• Raise the rates on 53% of all business income.
• Eliminate 710,000 jobs.
Don't just take our word for it... check out what real small business owners are saying about the President's proposal on the Committee's interactive website, Small Biz Open Mic.