Weekly Update from Sam

Statement

Dear Friends,

This coming Tuesday is known as "Tax Day," because it's the federal tax filing deadline, but the real impact of taxes on small businesses is not contained to a day or a season. Small businesses make tax-related decisions throughout the year that affect nearly everything they do, from budgets to hiring.

Tax rates are steep, but there's also a major cost in time. Most small businesses spend at least 40 hours around this time of year preparing their taxes, and 40 percent of them spend 80 hours -- two full work weeks -- on compliance. The large and complicated federal tax code is increasingly difficult for small companies to navigate. For small businesses, a week or two is time they cannot afford to lose. According to testimony before the Committee this week, the complexity of the process causes 86 percent of small businesses to pay tax preparers.

Small businesses overwhelmingly support reforming the tax code for simpler preparation, clearer guidelines and lower rates. Then small businesses can call their time their own again, and the economy would benefit from growth and new jobs.

Source