Encouraging new businesses
I am happy to report that in 2012, both political parties are on the side of “small businesses.” Republicans want tax breaks for these organizations while Democrats exclude them from most tax-raising schemes. This is a good thing.
Both parties want small businesses to succeed, yet unfortunately, most of them will fail. At the same time, many of our politicians want to crack down on big business so that mom and pop can once again have a fair shot. Giving small businesses the opportunity to once again compete with the Wal-Mart’s of the world is something we should all be able to agree on.
But we don’t have to do this by taking away tax breaks for big corporations, though that may, in some circumstances be an answer. We certainly need not raise taxes on any business, big or small, considering how large the 35% American tax burden is on our businesses already.
The solution is to give small businesses a leg up rather than giving big businesses a leg down, so to speak.
The solution is to stop making them jump through hoops. Levy a ZERO percent sales tax on small businesses during their first five years, until they turn a profit. Give them a pass on everything but the Fire Marshall Inspection (and health inspection for food). Make it easy for them. Don’t force them to collect, levy or keep up with tax books. Don’t take money away from them that they will need to hire employees with while putting food on their own table. Support them. That is an answer we should both be able to agree on.