Posted by Merry Wise on November 10, 2009 at 4:28pm
Small businesses create approximately 70% of the jobs in this country, so I have read. The politicians invoke small business all the time, but how many government policies really support us, help us create more jobs, enhance our chances to survive, much less succeed? I attended my Congressman's town hall meeting in August. He described a meeting in his committee at which he unsuccessfully argued for reducing taxes being added to small business by the new health care bill just passed, and his colleague said to him, "We can't take off the taxes on small business in this bill; they have had it too easy for too many years."I was aghast when he said this. When he called on me to speak later in the meeting, I spoke for small business and asked him to challenge this other congressman to come and work for one week with my husband- preferably in August- if he thought we had "had it so easy all these years", and see what we do to pay those taxes he wants to take from us. But what would actually raise tax revenue, promote more prosperity, and create jobs in the small business community? I suggest "raising taxes" isn't it.However, changing the entire tax structure to the fair tax system whereby everyone pays a higher sales tax remitted to the feds by the states and eliminating the income tax would perhaps be one step in the right direction. In my opinion, this woud save small businesses many thousands of dollars in accounting expenses and trying to understand and follow the law of our convoluted tax code, and would actually increase government revenue as it would be more difficult to cheat by many who do now. Drug dealers, illegal aliens, people paid under the table, tips, all this revenue is lost now, but all of these folks have to buy stuff to live, and this would of necessity be now taxed.How about allowing insurance to be purchased across state lines and organizations like our pool organizations allowed to pool their numbers to buy at cheaper rates? Surely that would help small business. How about tort reform in both the health care arena and business? Those reforms would also help business and the health issues being discussed as well.If the present tax system was not scrapped right away for a fair tax program, which looks unlikely at present, how about a tax holiday for fica and withholding for a year or two? That would certainly be a job and business builder. Eliminating capitol gains would go a long way for boosting small business. And historically, it is proven that when taxes go DOWN, actual revenue to the federal government goes UP! Lower taxes creates greater productivity, which stimulates growth and increased tax revenue is an inevitable byproduct, generally speaking. Lowering the corporate tax rate is another thing that would be helpful- the US pays some of the highest corporate taxes in the world, putting our businesses at a competitive disadvantage.These are just a few of my thoughts on what the feds could actually do that would help the small business- what are your thoughts? And is there any hope of communicating our needs to our elected officials to actually hear our voices now? After all, the future of our country and economy depends upon us to a very large degree- we are the little engine that could of the US economy. One would think it would behoove them to listen. That congressman hasn't volunteered yet to come help us, by the way.