What You Don’t Know About Small Business Tax Cuts
Small businesses are the engine of the American economy. There are 29 million of them, and they provide employment for roughly half the U.S. workforce. Through innovative products, dedicated employees, and strong community roots, these entrepreneurs are responsible for 2/3 of all job creation – now that’s a lot of jobs!
But high taxes and intrusive government regulations can eat away at budgets, and hurt their ability to raise wages or hire new people. In fact, small business owners say that high federal tax rates are their number one concern. Most small businesses – 95% of them, in fact – are taxed through the owner, which means that these businesses are subject to federal tax rates that can reach 40%. Small businesses structured like this are commonly referred to as ‘pass throughs.’
Imagine forty cents out of every new dollar earned going to the government. In any other circumstance, theft on this level would not be tolerated. Why is it for small businesses?
Significant tax cuts for these small enterprises would turbo-charge the U.S. economy. According to a recent poll of small business owners, a majority of respondents would use the financial savings from tax cuts to invest back into their businesses. This means hiring more people, raising wages, and expanding operations.
By energizing America’s entrepreneurial spirit through small business tax cuts, America’s middle class can experience greater job security, higher wages, and a more vibrant main street.To join the fight for small business tax cuts, visit InformationStation.org.