Biden will indeed raise taxes on small business
Joe Biden lied during the NBC Democratic presidential debate on Wednesday night when he said that taxes on small businesses would not go up in a Biden administration.
Here’s the key exchange:
Moderator: “I want to ask you about Latinos owning one out of every four new small businesses in the United States. Many of them have benefited from President Trump’s tax cuts. And they may be hesitant about new taxes or regulations. Will taxes on their small businesses go up under your administration?”
Biden: “No. Taxes on small businesses won’t go up.”
Biden is lying. Biden’s threatened repeal of the Tax Cuts and Jobs Act would raise taxes on small businesses by raising marginal income tax rates and eliminating the 20 percent small business deduction.
Small businesses typically pay taxes through the individual tax system. If Biden repeals the TCJA as he has promised, marginal tax rates go up across the board, hitting millions of small businesses.
Biden’s threatened repeal of TCJA would also eliminate the law’s 20 percent deduction for small business pass-through income. There are nearly 30 million pass-through entities in the United States.
Biden’s steep corporate tax increase from 21 percent to 28 percent would also hit many small businesses organized as corporations.
Biden’s corporate tax hike will also directly cause utility bills to rise in all 50 states, hitting small businesses with higher electric, gas, and water bills.
Biden has been lying about taxes for a while. When he ran for Vice President in 2008 he repeatedly said he would not support any form of any tax that imposed even “one single penny” of tax increase on any American making less than $250,000. Biden shattered that promise upon taking office.
If you want to stay up-to-date on their threats to raise taxes, visit www.atr.org/HighTaxDems.