With the House Ways and Means Committee kicking off its portion of the massive, $3.5 trillion budget reconciliation bill, more than 120 trade associations today voiced their strong opposition to the litany of tax hikes under consideration, and called on Chairman Richie Neal to reject any measures which would further burden Main Street businesses.
As the letter states:
Individually- and family-owned businesses are the cornerstone of the American economy. They represent nearly all businesses, they employ the vast majority of private sector workers, and they are the building block upon which innumerable communities across this country are built.
The package of tax hikes being considered by the Biden administration and Congress represents a direct assault on these employers. Proposals to raise rates on pass-throughs and C corporations, cap the Section 199A deduction, increase the capital gains tax, and impose capital gains at death would raise taxes on Main Street businesses when they operate, when they are sold, and when they are passed on to the next generation.
You can read the whole letter and view a list of signatories by clicking here. Ways and Means began their markup this morning and expects to take up the revenue provisions beginning next Tuesday.
Given the size of the package and the complexity of the individual provisions, many observers expect that timetable to be pushed back. Whatever the timing, however, the scale of the tax hikes under consideration has united the business community in opposition and we’ll continue to articulate the defense of Main Street businesses for as long as this process takes.