Small Business Owner Criticizes Proposed Payroll Tax Increase Before House Subcommittee
Washington, D.C. (March 12, 2019)—Today, Job Creators Network member and small business owner, Joseph Semprevivo, testified in front of the U.S. House Ways and Means Subcommittee on Social Security about the consequences of raising payroll taxes. The tax increase would be part of the Social Security 2100 Act—legislation that would expand Social Security.
In his testimony, Semprevivo—owner of Joseph’s Lite Cookies—had the opportunity to explain to committee members how increasing the payroll tax would harm American small businesses, middle class workers and entrepreneurs.
“For some small business owners which operate on tiny profit margins, this tax increase will put them out of business,” Joseph Semprevivo, owner of Joseph’s Lite Cookies, said in his testimony Tuesday morning. “Consider the restaurant industry where profit margins pivot around 3 percent. Labor makes up about one third of their total expenses. Raising their labor costs by 1.2 percent as this proposal does would be enough to put some of them out of business altogether.”
Read his full testimony here.
“Small businesses are the lifeblood of the American economy,” said Alfredo Ortiz, JCN President and CEO. “Strapping these entrepreneurs with a larger financial burden will only discourage this community of job creators from growing and reinvesting back into their communities.”