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  • Coats: President Calls for Tax Hikes on Small Businesses

    Coats: President Calls for Tax Hikes on Small Businesses

    Indiana Senator Renews Push for Comprehensive Tax Reform Benefiting All Americans

    WASHINGTON, DC – Senator Dan Coats (R-Ind.) today issued the following statement in response to President Obama’s call for a one-year extension of existing tax rates for people making less than $250,000 and tax hikes for all Americans making over $250,000.

    “As I speak with owners of small businesses all across Indiana, they are unanimous in their belief that higher tax rates are a major disincentive to hiring new workers,” Coats said. “The president’s plan will raise taxes on almost one million small businesses and do nothing to grow our economy. This is a desperate political move by an administration out-of-touch with the struggles faced by our nation’s job creators.”

    According to the Joint Committee on Taxation, nearly 940,000 small businesses would be subject to President Obama’s proposed tax rate hikes that would take effect on January 1, 2013. The National Federation of Independent Businesses reports that up to 25 percent of the American workforce is employed by businesses that will be affected by the president’s proposed tax hikes.

    In 2010, President Obama signed a two-year extension of all existing tax rates and stated that it was important to not raise taxes during a slow economy. At that time, the economy was growing a 3.1 percent. Today the economy is weaker and growing at an even slower 2 percent rate.

    “In 2010, the president said that increasing taxes ‘would have been a blow to our economy,’ yet today, in worse economic conditions, he is ready to hike tax rates and punish small businesses,” Coats said. “Rather than playing politics, the administration should start working with Congress today to create a tax system that is more competitive, simple and fair. Comprehensive tax reform is a proven way to encourage economic growth, create more American jobs and make our country stronger in the global marketplace.”

    Since Coats returned to the Senate, he has urged Congress and the administration to pass comprehensive tax reform. Last year Coats and Senator Ron Wyden (D-Ore.) introduced the Bipartisan Tax Fairness and Simplification Act, legislation that would simplify both individual and corporate tax rates, provide tax relief to the middle class and encourage businesses to grow and invest in the United States. For more information about the Wyden-Coats plan click here.

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    http://coats.senate.gov

    This post was tagged under: Dan Coats, Press Releases, Small Business Owners, Taxes

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