From tax reform to workers’ comp, here are three issues NFIB/OH is tracking and advocating your interests.
3 Ohio Small Business Issues to Watch
1. Reaching a budget deal
Ahead of a June 30 state budget deadline, Ohio small-business owners are holding their collective breath for what could be some positive tax reform that reduces liability for small businesses while not shifting increases onto other segments of the business community.
On Tuesday, the Senate Finance Committee considered the latest budget bill. In its current form, the two-year, $71.3 billion spending blueprint makes permanent the small business investor deduction. This deduction allows partners in pass-through entities, S-corps, LLCs and sole proprietors to deduct 100 percent of taxes on their first $250,000 in business income. This deduction has been very well received by NFIB/Ohio members allowing you to keep more money to reinvest in your businesses. Additionally, the bill places a flat 3 percent tax on small businesses above that income level.
2. Reforming workers’ compensation
House Bill 207 was headed to the Insurance Committee in June. Sponsored by Reps. Michael Henne (NFIB member) and Robert McColley, the bill allows a state fund employer to have a workers’ compensation claim, that is likely to be subrogated, paid from the Surplus Fund Account within the State Insurance Fund, rather than charged to the employer’s experience—a move that could keep workers’ comp premiums lower for small-business owners.
NFIB offered testimony in support of the concept and committed to working with the committee to eliminate any unintended consequences.
3. Requiring residency for contractors
Residency requirements for contractors is a key vote issue for NFIB/Ohio. The bill has had hearings in both chambers of the General Assembly and passed out of Ohio House Commerce & Labor Committee in early June.
