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Tax reform is top concern for small businesses

September 23, 2017
Story City Iowa main street FM Bank_Brood-wich via Flickr CC

Owners of small businesses, like these along Story City, Iowa's main street, are hoping federal tax reform will provide them some financial relief. (Photo by Brood_wich via Flickr CC)

It looks like the Graham-Cassidy attempt to repeal and replace Obamacare is running out of steam, thanks once again to Arizona GOP Sen. John McCain.

That means Capitol Hill can shift its full attention to the tax code. Republicans say they'll release more tax reform details the week of Sept. 25.

Small business owners should be happy.

Tax reform tops biz concerns: The latest Paychex Small Business Survey, conducted in late August, found that tax reform is the main concern of small businesses.

Forty-one 41 percent of small business owners want Donald J. Trump's administration to make tax reform its number one priority.

That percentage wanting a focus on tax reform was more than the next three priorities combined: repeal and replacement of Obamacare, which officially is the Affordable Care Act, at 15 percent; infrastructure, also at 15 percent; and reducing regulations at 9 percent.

That 41 percent also is this week's By the Numbers figure.

TaxReform_Snapshot_Paychex-800x464

When asked which part of tax reform would most benefit their business, 40 percent of the surveyed small business owners said they prefer a lower tax rate. Another 27 percent picked getting rid of special interest loopholes for large corporations. And 21 percent want the tax code to be simplified.

Tax reform troubles for small businesses: A few, however, don't care about tax reform. Why? That group, representing 12 percent of those queried by Paychex, say they would not benefit from tax reform.

Those who aren't clamoring for tax reform also might be wise to this week's Shout Out Saturday pick, the USA Today story detailing six small business bombshells in Trump's tax plan.

Give reporter Rhonda Abrams' story a read for details.

And stay tuned next week to see how the latest take on tax reform might affect or alleviate those small biz tax concerns.

You also might find these items of interest:

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TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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