Peter Larkin, President and CEO of the National Grocers Association (NGA), released the following statement on President Obama calling for tax increases on entrepreneurs:
“Today the President again called for increasing taxes on thousands of individual entrepreneurs who operate their businesses as pass-through entities, such as Subchapter-S Corporations and LLCs. By allowing tax rates to increase for joint filers with income above $250,000, thousands of pass-through entities will be forced to divert capital to pay Uncle Sam’s tax bill instead of growing their businesses and creating jobs.
“Independent retail grocers and wholesalers have continued to innovate and invest in their local communities by opening new stores, renovating existing stores and hiring workers. Over 50 percent of NGA’s members operate as a pass-through entity so the impact of a tax hike on these entrepreneurs will be significant. NGA’s members continue to call on Congress to act now and extend the current individual tax rates for all income levels for one year, so Congress can address comprehensive tax reform. In addition, Congress should make it a top priority to make permanent the current estate tax top rate and exemption so businesses can have some certainty for the future. Calls to raise taxes at a time when the economy is faltering and unemployment continues to hover above 8 percent should be swiftly rejected by Congress.”