Tax Reform and Your Small Business

By Bonnie Lee

Published June 30, 2014

FOXBusiness

Every couple of years utterances of the implementation of a flat tax emerge. In fact, in a tax seminar during the early 1990s, a well-revered speaker made one of those mark-my-words predictions that the flat tax would be operational within the next few years.

Twenty four years later, there’s no flat tax. In fact, our tax law has become even more complex and convoluted.

When President Obama entered the White House in 2008, promises were again made that the tax code would receive a major overhaul. But other issues were bold-faced over this promise: the fiscal cliff, sequestration, wars, ObamaCare (which created even more complexity in the tax arena) and who can forget, a government shutdown. As usual, tax reform sits on a back burner.
The last major tax reform took place in 1986 under Ronald Reagan. Many economists agree that restructuring created more jobs, something our current day economic recovery is still lacking.
Small business owners would love nothing more than than to have to hire more employees. That would mean business is booming and sales are up.

In 2010, a presidential commission came forward with some ideas for tax reform. Their proposals have been an area of study by the American Council for Capital Formation (ACCF), which added improvements to the commission’s recommendations. They have also studied recent congressional tax reform proposals such as those offered by former Senate Finance Committee Chairman Max Baucus, Sens. Ron Wyden and Dan Coats and by House Ways and Means Committee Chairman Dave Camp.

According to an ACCF Special Report, “These plans – share the basic architecture of the National Commission on .....

Read more here. http://smallbusiness.foxbusiness.com/finance-accounting/2014/06/30/tax-reform-and-your-small-business/