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tax hike coming cuts will expire david sampson former

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Unformatted text preview: percent of tax returns reporting small -business income would be subject to the higher tax rates Obama proposes, there is much more to the story. Millions of American taxpayers earn a few bucks on the side. Sometimes the extra income is from a lucrative hobby; sometimes the work is more serious. Millions of these sideliners are honest enough to report their earnings as small-business income. But they are not small businesses in the traditional sense. They have no employees. They have no fixed place of business. They do not offer services widely. True small businesses have employees. They invest in machinery. They offer goods and services widely. And the successful ones earn significant sums to compensate for the risks of running the business and to earn a return on capital invested, typically plowing those earnings back into the business so it can expand further by investing more money and hiring more workers. And because they earn significant sums, successful small businesses earn the bulk of small business income. So, while only a small portion of taxpayers reporting small-business income would face Obama's higher rates, those facing the higher rates are the successful and expanding small businesses that create new jobs the economy needs to grow. According to a survey by the National Association of Independent Business, the businesses most likely to face Obama's higher rates are those employing between 20 and 250 workers. Raising rates on successful small businesses is a big part of the reason why the Obama tax hikes would hurt the economy. 16 | P a g e Taxes Disadvantage Answers Taxes Bad DA Affirmative BDL Taxes DA Answers – Table of Contents Glossary ................................................................................................................................................ 2 Uniqueness – Tax Increases Now ..................................................................................................... 3-4 No Link – Won’t Increase Taxes Because of the Plan .......................................................................... 5 Impact Tax Increases Good for the Economy – Budget Deficits.................................................................... 6-7 Tax Increases Good for the Economy – History Proves ....................................................................... 8 Answers to: Tax Increases Hurts the Economy .................................................................................... 9 Answers to: Tax Increases Hurt Small Businesses ........................................................................ 10-11 1|Page Taxes Bad DA Affirmative BDL Glossary Consumer. A consumer is an individual person who purchases a product. Draconian. Draconian means extreme. Fuel tax. A fuel tax is a tax on gasoline or other motor fuels such as diesel. Stimulus. When the government spends a lot of money it is considered to be a stimulus because that expenditure of money means that more money is available in the economy to buy goods and stimulate econ...
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This document was uploaded on 02/06/2014.

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