Several tax rates that affect small business are set to expire at the end of this year. Some of the changes that will impact small business include:
● Individual income tax rates would rise; the 15 percent bracket would become the lowest tax rate. The 25, 28, 33 and 35 percent brackets would rise to 28, 31, 36 and 39.6 percent
● The estate tax rate would increase from 35 percent to 55 percent, and the exemption would decrease to $1 million from $5 million
● The capital gains rate would increase to 20 percent from 15 percent for top earners and rise to 10 percent from zero for those with lower incomes
● Dividends would be taxed as ordinary income rather than capital gains
● The Section 179 expensing limit will fall back to $25,000 and real property will no longer be included
● The start-up deduction for businesses will be reduced from $10,000 to $5,000
● An estimated 31 million additional taxpayers would be required to pay the AMT
This adds up to an almost $500 billion tax increase for 2013 alone. This is a major concern for small business owners like me, since I do not know what my tax liability will be next year. The uncertainty this creates is already having an impact on my ability to make plans to grow my business or add jobs.
Most small businesses are organized as pass-through entities, where the business owner reports their business’s income on their individual tax returns. Allowing the current tax rates to expire will increase the taxes that small businesses pay, directly impacting the ability of small-business owners to invest money back into their businesses.
Raising taxes on small businesses, especially in the current economic environment, hurts our ability to grow and create jobs. I encourage you to give small-business owners the certainty we desperately need by extending all the current tax rates across the board and fighting to avoid the Fiscal Cliff.
Message delivered to:
Senator Bill Nelson
716 Hart Senate Office Building
Washington DC 205100001
Fax: (202) 228-2183 via fax
Message delivered to:
Senator Marco Rubio
317 Hart Senate Office Building
Washington DC 205100001
Fax: (202) 228-0285 via fax
Message delivered to:
Representative Gus Michael Bilirakis
U.S. House of Representatives
407 Cannon House Office Building
Washington DC 205150001
Fax: (202) 225-4085 via fax
How do you spend a trillion dollars a year, over 4 trillion dollars in less than 4 years, and not cure cancer? For that matter, the common cold. Why are we not a nation disease free? Where are our priorities? What were we thinking?
This is getting personal. I have three sisters. My youngest sister was diagnosed with breast cancer and she is a breast cancer survivor Now my oldest sister has been diagnosed with breast cancer. It’s no longer about Obama simply reaching into my wallet. It’s not so much about the money anymore. It’s about the waste. It’s about wasted time, wasted money and wasted resources. Tic-toc, cancer is rampant and destroying more and more lives. Government waste is a cancer, too. Here is a case in point: Millions Spent on Storytelling Science.
Do you want to see real gains in life saving procedures and reduced medical expenses? News flash!!! Put your money and energy behind curing the disease. One of the most appealing aspects of Obamacare is providing for coverage to people who have preëxisting conditions. I’m all for that. Make the insurance companies toe the line. My contention is, what if preëxisting conditions didn’t exist? Cure cancer. There would be a lot fewer preëxisting conditions if we attacked the real problem, cancer.
What if Obama had the cojones to take back the $16 Billion he gave to his mega-rich campaign donors, including blowhards like Ted Turner, recipient of around 1 billion in green energy money from Obama, for failed green energy initiatives and put that money it towards cancer research? No. Now that he’s been reelected at all cost, we’re $16 Trillion in debt. Now it’s everybody’s problem that our healthcare is going to be too expensive for many small businesses because we are going to be taxed. If you want to blame Bush or the Republicans, argue your case with John Roberts, Chief Justice, Supreme Court.
All politicians have it wrong when it comes to priorities on health issues, but the Mainstream media and Hollywood have placed the focus on our savior and savant, Barack Obama. All this President was about was keeping his job by dividing America, the have’s and the have-nots’. He succeeded. All President Obama has done is grow a new cancer. A cancer that is equally daunting and will grow as our economy shrinks under his leadership. Get to the source of the problem. Why waste time and money on Obamacare? Why not cure cancer? That’s what a real leader would be all about.
Murder by guns vs. cancer, a look at our current death toll in this country (based on trends – not actual numbers). —> 2012 Mortality statistics for USA
I’m no fan of Obama and I never will be, but by coincidence or by design, I am in Washington D.C. today for a business conference. I have to say, regardless of the disappointing outcome of this election for Republicans and Conservatives like me, I am proud to be an American.
Like so many others, there is talk of cessation, there’s talk of moving business to foreign shores. I am not going to be the one to tell you what to do, but I can tell you, a walk around the Mall in D.C. was the best medicine for anyone who wants to think twice about giving up on America.
I walked miles today visiting the Lincoln and Washington Memorial, the World War II Memorial, the Korean War Memorial, the new M.L. King site and other sites, how could I possibly turn my back on all those who believed in, fought for and gave their lives for my country, the United States of America?
Read The Democrats’ Big Problem. There’s a lot of work to do. Let’s take the Senate and our Country back in 2014!
Small Businesses – Over Regulated? Thousands of Community Banks a.k.a Small Businesses May Disappear!
…to name a few. This equates to many thousands of dollars in added security measures and personnel costs.
We now face another huge challenge, none more onerous than the PPACA (a.k.a. Obamacare) as it ramps up.
Many community banks and credit unions are small businesses too and are subject to the same laws and regulations facing big banks. The Feds have closed down 10 of our FI customers, costing them their jobs and costing us hundreds of thousands of dollars in lost revenues. Speaking to many of our contacts at these FIs, most closing could have been avoided.
According to several of these sources, the Feds come in at the end of business day, Friday and take over the bank. One source, described it similar to be treated as a criminal as she was forced to stand outside her cubicle while they accessed her PC. She was kept there until after midnight.
Recently, an expert on financial services stated “there will be no de novo (startups) financial institutions due to the steep financial requirement and regulations.”
A quote recent article from CNN Money’s Fortune Magazine, Thousands of banks may disappear, “Now that President Obama has been re-elected, analysts, consultants and deal makers have turned from whether Dodd-Frank will be repealed to what it means for banks now that it’s likely here to stay. The overwhelming conclusion: Thousands of small banks will soon disappear.”
As the number of community banks and credit unions shrink we are forced to seek new markets. An added burden to already burdensome economic conditions. While the Obama administration panders to big business, big union and advocates big government, small businesses continue to bear the brunt of over regulation.
This is the official government “fair warning” website regulations.gov. Be afraid! Be very afraid!