Against America Joe Biden’s Tax Plan Betting I magine working your entire life alongside your family building a business, only to have Uncle Sam take almost half of it before you’re able to pass it on to your children and grandchildren. This may be the new reality for many multigenerational small businesses across the coun-try if the tax plan proposed by Pres-ident Joe Biden becomes law. With Democrats in unified control of the government, albeit by a slim majority in the Senate, the threat of business-and job-stifling taxation has become stronger for not only America’s small businesses but also taxpayers across all income scales. To start, President Biden proposed reversing many of the Trump tax cuts for small businesses from his signa-ture 2017 Tax Cuts and Jobs Act. Pres-ident Biden has proposed raising the top individual tax rate (which millions of small businesses pay), eliminating the 20 percent small business deduc-tion, tripling the number of families hit by the death tax, taxing accrued capital gains at death, and raising the corporate tax rate. According to the analysis by five independent think tanks, many left-leaning, the bottom line is that during an already weak economy, Joe Biden’s tax plan would eliminate jobs. Indeed, the Urban-Brookings Tax Policy Center (TPC), the Tax Foundation, the Committee for a Responsible Federal Budget (CRFB), the American Enter-prise Institute (AEI), and the Penn Wharton Budget Model all showed that Biden’s tax hikes on small busi-nesses would shrink the economy as a whole and therefore result in job losses across the country. We’ll come back more specifically to President Biden’s plan to increase death taxes. In addition to these job losses from tax hikes on businesses, we are likely to see more direct tax increases on the middle class, which flies in the 44 • AMAC Magazine
AMAC Magazine April 2021: Page 44
