Nicole Riley, state director of the National Federation of Independent Business, released the following statement today in response to the House and Senate budget proposals:
“We’re ecstatic to see the House and Senate accept the Governor’s proposal to unwind the budget gimmick known as the ‘accelerated sales tax’ payment beginning in June 2017.
“Accelerated sales-tax payments are a big problem for small businesses. Basically, merchants have to guess how well they’ll do in the coming months and send the state a check ahead of time. We don’t think that’s fair, and we’re glad it’s one of the issues Governor McAuliffe and the General Assembly made a top priority in their budgets.
“Small businesses are also grateful to see the General Assembly pause on the governor’s plan to reduce the corporate income tax rate which doesn’t do much of anything for small, family businesses. The fact of the matter is that most small businesses pay taxes at the individual rate, not at the corporate rate.
“Our members prefer the governor and the legislature to take a more comprehensive look at tax form including eliminating the business, professional, and occupational license tax and machinery and tools taxes, which impact more businesses regardless of size and ownership.”