The coronavirus pandemic has rocked many small businesses and has caused the US economy to creep into a recession. Entrepreneurs hold a lot of power because they vote regularly in national contests, according to the National Small Business Association. Make sure that your vote this election season is going to be what is best for your business in the next four years. Here are five things all entrepreneurs should consider before voting. 1.
Corporate Tax
The Trump administration passed the biggest tax cuts in decades. Biden is campaigning on an increase to a 28% rate – which would still be lower the corporate tax rate in 2016. If corporate tax is your concern you may want to vote in favor of the republicans.
Income, capital gains taxes
Trump wants to lower the top capital gains tax rate to 15%. The president also talked about eliminating payroll taxes. For small business owners, there is a lower current tax burden because of the 199A deduction, and it could reduce even more with low capital gains tax and low payroll taxes. The Biden tax platform does indicate that incomes under $400,00 a year will not experience any tax increases, including provisions like 199A deductions. Biden has proposed raising the corporate tax rate to 28% on “day one.” He also proposed he won’t raise taxes on small businesses with fewer than 50 employees.
Covid-19
One of the biggest questions is how each candidate is going to help small businesses get through the Covid-19 pandemic. According to the NFIB, about half of business owners anticipate needing additional financial help in the next 12 months. Even after the $2.2 trillion relief package, one in five business owners anticipates they won’t make it until the end of the year. Trump promises lots of tax cuts he doesn’t speak too much relief for small businesses. A vote for Trump doesn’t necessarily guarantee that businesses will stay open. The president also threatens not to pass another stimulate package unless he voted in office. Biden does talk about possibly going back to stricter quarantine phases that could affect small business but, with raising Coronavirus cases that may be enviable.
Healthcare
Former Vice President Joe Biden says he will uphold and build upon the Affordable Care Act passed by former President Barack Obama. He also proposes a public option, which would a government-funded addition seeking to cut costs and offer an alternative choice for employees. The Trump campaign finally announced its long-awaited health care vision, even though it is not a comprehensive new plan. The plan promises to repeal the Affordable Care Act and to protect those with preexisting conditions. There still has not been an official word on what the health care plan will intel.
No matter who you decided to vote for, make sure you have a plan to vote. Double-check to make sure you are registered to vote. Once you have check you can here to locate the closest poll location to you.
