By John Tozzi; Bloomberg Business Week
The recovery that began in the middle of last year hasn't reached small businesses yet. While corporate profits approach pre-recession levels, income at small private companies is recovering much more slowly, according to data from the Bureau of Economic Analysis. Proprietors' income—the profits of unincorporated businesses such as partnerships or… Read more »
By John Engler and Jerry Howard; Wall Street Journal
Speaking at his first cabinet meeting after the midterm election, President Obama repeated his familiar call for extending the current tax rates for middle-class families. He also vowed to support business. "We've got to provide businesses some certainty about what their tax landscape is going to look like, and we've got to provide… Read more »
By Steve Rosenbush; Portfolio
Conservative lawmakers and economists are pressing the Federal Reserve to drop its monetary-driven agenda for promoting economic growth in favor of the small-business platform of lower taxes and less regulation. The Wall Street Journal reported Monday that a growing movement, which includes conservative luminaries, such as former Bear Stearns economist and… Read more »
By Robin Harding; Financial Times
Bank loan officers say that demand for loans from small US companies fell in the past three months, casting doubt on how much the Federal Reserve can stimulate the economy.
Twenty-nine per cent of banks said that demand for loans from companies with sales below $50m had fallen, compared with only 7.1 per cent of banks that reported a rise, according… Read more »
By Gail Buckner; Fox Business
What’s the most common form of business in this country? (Hint: it’s not “corporation.”) In fact, the United States is the only developed nation in the world where the majority of companies are not what the IRS calls “C” corporations -- the kind that make up the S&P 500. Instead, according to Brad Close of the National Federation of Independent… Read more »
By Jeff Cornwall; Christian Science Monitor
The IRS seems to have it in for small businesses these days.
There is the new rule recently passed that require the issuance of 1099's for any purchase over $600. Many fear that this is lays the groundwork for an additional new tax system based on a Value Added Tax. It has already begun to slow entrepreneurial growth, according to House… Read more »
By Timothy Homan; Bloomberg News
Employers in the U.S. are starting to warn their workers to prepare for slimmer paychecks if Congress fails to vote on an extension of Bush-era tax cuts.
“I’ve been doing payroll for probably close to 30 years now, and never have we seen something like this where it gets that down to the wire,” said Dennis Danilewicz, who manages payroll services for… Read more »
By Jaf Heflin; The Hill
Despite repeated requests from House Small Business Committee ranking member Sam Graves (R-Mo.) for how the IRS intends to implement the 1099 reporting rule, IRS Commissioner Douglas Shulman continues to decline to provide him the information.
"I am extremely disappointed by the IRS's ongoing refusal to help employers understand the impact of this hefty… Read more »
By Randy Tucker; Dayton Daily News
Miami Valley small business owners fear they could find themselves buried in additional paperwork stemming from a new tax rule attached to the Health Care Act.
Set to take effect in 2012, the provision would require all businesses, no matter how small, to submit 1099 forms for any vendor they pay more than $600 a year.
That means local start-ups and… Read more »
By John Maggs; Politico
Is there really a small-business credit crunch?
To hear President Barack Obama tell it, one of the most lasting effects of the financial crisis is the trouble that small businesses are facing in getting loans to expand.
While the credit crisis has eased for Big Business, the president has argued for months that additional help was needed to get loans flowing… Read more »
