NSBA Supports Tax Bill, Urges Further StepsDecember 17, 2017
The National Small Business Association (NSBA) applauds House and Senate conferees for crafting a compromise tax reform bill that addresses some key priorities for America’s small-business owners. Despite ongoing concerns with overall tax simplification, true parity among small and large businesses, and the growing U.S. debt, NSBA is pleased to support the final tax bill, the Tax Cuts and Jobs Act (HR 1), as a key element for continuing our economic growth and a first step in fixing our broken tax code.
“This compromise tax reform language will enable small-business owners to hire new workers, expand facilities, and purchase new equipment, bringing pro-growth investments back to the U.S.,” stated NSBA President and CEO Todd McCracken.
The compromise tax reform bill provides tax relief to most small businesses while maintaining most of the key deductions for America’s smallest firms. Given that the overwhelming majority of small businesses are pass-through entities—83 percent—and therefore pay business income taxes at the individual income level, it is imperative that any legislation ensures fairness, and this bill takes a significant step in the right direction.
While the final bill offers considerable tax relief to most small businesses, it falls short in two key areas: simplification and debt reduction. Complexity in the tax code has outpaced the actual financial burden of federal taxes in terms of small-business burden, and NSBA’s members routinely select “reduce the national deficit” among their top five priorities for Congress.
“Today, we have the first real chance for broad tax reform in a generation and we are incredibly close to the finish line, but our leaders must take further steps,” stated McCracken. “I urge lawmakers to support this bill and commit to seeking additional tax reform measures that will ensure small-business parity, tax simplification and long-term economic stability.”
Please click here to view NSBA’s letter of support.