04/25/2007
NFIB disappointed in diminished small-business tax relief in the federal supplemental spending bill
CONTACT: Michael J. Donohue, (202) 314-2044, or Jordan Vendetti, (202) 314-2041
WASHINGTON, D.C.--Dan Danner, executive vice president of the National Federation of Independent Business, today made the following statement in reaction to the reduced small-business tax-relief package contained in the federal minimum wage increase legislation, now attached to the Iraq spending bill.
"It's truly disheartening that during National Small Business Week Congress has decided to renege on their promise to deliver meaningful tax relief to the American small-business community in the face of a mandated federal minimum wage hike.
"While small businesses appreciate the increased and extended expensing limit, the tax package as a whole simply does not offer enough growth-oriented tax relief to allow small businesses to invest and stay competitive. NFIB is disappointed to see that the reduced tax package falls short of truly offsetting the costs small businesses will be forced to absorb as a result of a minimum wage increase.
"Small-business owners have always opposed mandated wage levels because it leaves them with fewer choices in how they compensate their employees. But in the face of an inevitable wage hike, the small-business community was pleased to hear that Congress was planning to offer a tax package aimed at helping small businesses cope with additional labor costs.
"From the beginning of this debate, the accompanying tax package was supposed to be about helping the country's small businesses. Instead, Congress has spent more time catering to big business demands than providing real tax relief to those who need it most - American small-business owners.
"As this debate continues, NFIB will continue its efforts to educate members of Congress about why small businesses need and deserve meaningful tax relief."
