WASHINGTON, D.C. (August 8, 2022) – The National Federation of Independent Business (NFIB), the nation’s leading small business advocacy organization, released the following statement regarding the Senate consideration and passage of the Inflation Reduction Act of 2022:
“With high inflation, workforce shortages, and supply chain disruptions, small businesses are facing persistent economic headwinds,” said Kevin Kuhlman, NFIB Vice President of Federal Government Relations. “Small business owners avoided the worst-case scenario of direct tax increases on their businesses, such as the new 3.8% tax on business income. But the direct tax was replaced with what is likely to be an indirect tax, by doubling the size of the Internal Revenue Service, and stressing enforcement, audits, and examinations over compliance assistance and resolving backlogs. NFIB is disappointed that the Senate rejected amendments to protect small business owners from increased enforcement actions and made changes that made the bill more problematic for small businesses, including tax and healthcare changes that limit flexibility and increase costs.
“Inflation remains the top concern of small business owners, but despite the bill title, skepticism remains whether the package will address this top concern and work to reduce inflation,” Kuhlman added. “As expectations for better business conditions is currently at a historic low in the 48-year history of NFIB’s survey, a better approach for small businesses would be legislative and regulatory certainty, including no direct or indirect tax increases on business, and relief from regulations and mandates that increase the cost of doing business.”
