Imagine that you are a small business owner who has just turned on your favorite news station to hear that the GOP-controlled Congress has passed their tax reform legislation. You would probably hear this news and jump for joy. For someone who owns a small business, this in fact may be something that could benefit them extensively.
A couple of small business owners spoke with Fox News about their glee over this bill being passed by the Congress. The founder of “Guy Chemical” and the President of “Joseph’s Lite Cookies” both stated that they were happy that the bill had been passed. They talked about how they were happy to have some relief from one of the “highest tax rates in the world”.
The GOP bill will bring the top tax bracket down from a rate of 39.6% to 37%. At the same time, it will slash the rate at which corporations pay from 35% down to 21%. This has outraged opponents of the measure who say that it is nothing more than a cover for corporations to get a massive tax cut at the expense of the Middle Class.
There are a lot of people who are happy to see that the tax-free rate on income for small business was increased from the levels that it had previous stood at says the Washington Times. This is vital because many small businesses run on a very limited amount of funds. They do not necessarily have extra room in their budget to spend on extra taxes. When they have tax cuts like the ones offered by the GOP tax plan, they at least get some relief from the burdensome rates that were charged to them in the past.
Perhaps the hidden factor that could help small businesses that not a lot of people are talking about is how these tax cuts could help the broader economy. You see, people are gaining confidence in the economy as a whole. That is due in no small part to the fact that the GOP tax plan has passed the Congress. They are happy to see the stock market crashing through new highs on nearly a daily basis. Some people have even enjoyed and appreciated bonuses given out from their employers as a result of the tax cut. It may even be possible to have greater access to small loans as a result of what has happened with this tax bill.
Everyone has their own unique take on what exactly this tax bill means for them in particular. There are arguments to be made in just about every direction. The Left will tell you that this is a huge giveaway to corporations, the Right will tell you that it is the best thing that has ever been done to the tax code. Almost no matter how you look at it, there is something for people to argue about. Everyone wants to see things from their own perspective, but small business owners tend to be pretty happy about it.
This is bound to be the most debated bill passed by the Congress to this point. It is something that they have wanted to do for a very long time, and now it has finally happened. The results of this bill may not be fully understood until something like ten years into the future.