Tax day reminds us of the taxes we pay - local, state and federal all combined takes a bite out of your wallet. It begs the question: are we getting the most out of government? And what is the impact of taxes on job creation?
Many are starting to concur that our economy is stagnating due to fundamental underlining structural problems that are preventing it from growing. The current tax code is a massive roadblock which stifles the American dream. It prevents America's ability to innovate, create, and build new businesses and hinders the ability of existing businesses to invest, grow, and create jobs. Bold steps must be taken to shift gears and get our country out of neutral and into the driving lane.
While the Democratic led Senate voted on the Buffet rule this week, which would raise taxes on hard-working Americans, the House of Representatives passed the Small Business Tax Cut Act, giving a 20% tax cut to small businesses. In making strides to get our economy moving, this legislation will help small businesses invest, grow, and create more jobs. As of 2009, there are 96,063 small businesses in Tennessee with between 1 and 500 employees, employing a total of 1,038,000 individuals. When small businesses expand -- job opportunities expand. With over 22 million small businesses employing 65% of working Americans, this is a vital step in the right direction.
There is momentum to get America back to a fairer, flatter, simpler tax code. I look forward to getting things moving forward again and to putting our country back on the right track. I don't know what Washington was doing before I got here, but I am continuing to fight the fight, and I hope that the Senate and the President will wake up and do the same. The chart below illustrates why a complicated tax code only leads to a stagnated economy, benefitting some taxpayers, but not others. A fairer, flatter, simpler tax code would help stimulate the economy and benefit every taxpayer.