Small Business Taxes To Skyrocket

Contractors beware! According to Monday's Washington Post, small businesses with profits in the range of $500,000.00 per year, and whose owners file income taxes as Subchapter S corporations - putting business profits on their individual tax returns - should expect to see a 19% increase in the income taxes they will pay on those earnings under the Obama administration's proposed $1.3 trillion increase in taxes on the "rich" over the next ten years. Ouch!

Small Business Tax Increases Bog Down Obama Budget

Senators and Congressmen from both parties who fall into the center of the political spectrum are raising concerns that the President's plans to pay for his middle class tax cuts by raising the two top tax brackets will unfairly burden small American businesses, which they say are the engine of economic and job growth in our economy. The concern is that businesses employing between 25 and 249 workers will have to cut jobs, hold off expansion plans or reduce wages and benefits for existing workers in order to pay the increased taxes. A lot of construction businesses would fall into this category.