The Washington Wire Archive - The S Corporation Association

Rate Debate Begins

Majority Leader Harry this week filed a motion to proceed to the Senate Democratic bill (S 3414) to extend the Bush tax cuts for all taxpayers except the top two brackets. A procedural vote is scheduled for tomorrow.

Senate Republicans will push to have a vote on their own version which will extend current tax policies for all brackets. If an agreement is not reached on allowing alternatives, Republicans could try to block consideration of the Democratic bill.

So we now have competing proposals before the US Senate, which begs the question, does Leader Reid have the votes? He starts with 53 …

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admin2019-02-01T20:13:04+00:00July 24, 2012|

New S-CORP Study in the News

As our Washington Wire readers know, S-CORP released an important study on Tuesday by Bob Carroll and Gerald Prante from Ernst & Young. The new study focuses on the rate debate in Congress and its impact on job creation and business investment, concluding that allowing the top rates on individual, business, and investment income to rise starting next year would, over time, result in fewer jobs, lower wages, and less investment. The study also found that more than 72 percent of S corporation income is earned by the 500,000 S corporation owners who pay the top two rates.

The study …

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admin2019-02-01T20:13:09+00:00July 18, 2012|

New Ernst & Young Study on Top Rates

oday, the S Corporation Association released a new study by Ernst & Young focused on the rate debate in Congress and its impact on job creation and business investment.

According to the study, allowing the top rates on individual, business, and investment income to rise starting next year would, over time, result in fewer jobs, lower wages, and less investment. Key documents include:

Ernst & Young Macroeconomic Study on Rate Hikes
Highlights of the E&Y Study
S Corporation Association Press Release

Authored by Dr. Robert Carroll and Gerald Prante of Ernst & Young, the study examines the economic impact of the …

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admin2019-02-01T20:13:17+00:00July 17, 2012|

BIG Update

It’s been an active week for supporters of an extension of built-in gains (BIG) tax relief.

First, Sens. Olympia Snowe (R-ME) and Mary Landrieu (D-LA) worked to find another way to highlight an extension of built-in gains relief, culminating in a package of small business tax and other provisions that got 57 votes on the floor today.

Together with Sens. Ben Cardin (D-MD) and Pat Roberts (R-KS), our Senate allies have continued to press the need to extend this important access to capital provision for small and closely-held businesses, and we appreciate their efforts.

Second, Reps. Jim Gerlach (R-PA) and Ron Kind (D-WI) …

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admin2019-02-01T20:13:22+00:00July 12, 2012|

President Targets S Corps

President Obama announced yesterday his continued support for raising tax rates on Americans earning more than $250,000 ($200,000 for single filers). As the Wall Street Journal reported today, these policies would hit a large number of business owners:

Congress’s Joint Tax Committee -not a conservative outfit – estimates that in 2013 about 940,000 taxpayers will have enough business income to meet Mr. Obama’s tax increase threshold. And of the roughly $1.3 trillion in net business income, about 53% will get hit with the higher tax rates.

New numbers from Ernst & Young reinforce the impact these higher rates will …

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admin2019-02-01T20:18:40+00:00July 10, 2012|