In an editorial in the Albuquerque Journal, Jason Espinoza calls on New Mexico’s congressional delegation to lend a hand
NFIB New Mexico State Director Jason Espinoza penned a guest editorial for the Albuquerque Journal urging the state’s congressional delegation to not let the hottest economy in decades slide back. A booming economy he attributed in part to the 2017 passage of the Tax Cuts and Jobs Act
“Now the problem,” he wrote “Whereas the Tax Cuts and Jobs Act consolidated corporate tax rates into one flat rate of 21% and made the new rate permanent, it did not make the Small Business Deduction permanent. It expires at the end of 2025.
“Here’s where New Mexico’s congressional delegation could be of real help for the small enterprises that line our state’s Main Streets. Passing the Main Street Tax Certainty Act (HR 216, S 1149) would make the Small Business Deduction permanent, too, providing the same permanency Wall Street and Silicon Valley businesses enjoy.”
In a public statement to Congress, Juanita Duggan, president and CEO of NFIB, reminded representatives that “Small and independent businesses were clear about what they would do if given tax relief and they have put their words into action by creating jobs, increasing compensation, and expanding. Yet, unlike those for large corporations, the tax relief provisions for small businesses, primarily the Small Business Deduction, are set to expire.”
Her statement made four factual points:
- The Small Business Deduction has resulted in estimated savings of $27 billion in 2018 according to the Joint Committee on Taxation. It is projected to save $414 billion over ten years.
- In the small business half of the economy, 2018 produced 45-year record high levels of job openings, hiring plans, actual job creation, compensation increases (actual and planned), profit growth, and inventory investment.
- Since December 2017, when the Tax Cuts and Jobs Act was signed into law, and every month since, “taxes” is no longer cited as the Single Most Important Business Problem, according to NFIB’s monthly surveys of its members.
- Job creation among small businesses broke the 45-year record in February 2019 with a net addition of 0.52 workers per firm, according to NFIB’s monthly jobs report.
Espinoza’s editorial can be read here and Duggan’s statement here.
