Small firms remain mostly safe
Less than 3% of the roughly 30 million small-business owners in the United States could face tax increases under President Joe Biden’s jobs and infrastructure plan, according to a new analysis by the White House on Friday. The White House has been seeking to leverage the support and political popularity of small-business owners in its fight to raise the corporate tax rate from 21% to 28% on large corporations such as Walmart and Amazon. The move has faced stiff opposition from large national trade groups like the US Chamber of Commerce and the Business Roundtable. The proposed increase in the corporate tax rate to 28% would not affect any small business that file taxes as a “passthrough entity” such as a limited liability corporation, said a senior administration official. Nearly all small businesses fall in that category, the official said.
Published in The Express Tribune, May 16th, 2021.
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