ICYMI: INFLATION REDUCTION ACT LEVELS PLAYING FIELD FOR SMALL BUSINESSES
Under the Inflation Reduction Act, Large Corporations Will Have to Pay Their Fair Share of Taxes
In Case You Missed It — The Inflation Reduction Act will level the playing field for small businesses and require large corporations to pay their fair share of taxes, according to small-business expert Rhonda Adams.
In an opinion piece to USA Today, Adams outlines how the Inflation Reduction Act would be a “good-size win for most small businesses, and a huge win for some.”
While these provisions will have no direct effect on small businesses, the 15% minimum tax on huge corporations helps level the playing field. It applies to about 150 corporations, but should bring in more than $300 billion in tax revenue.
Let’s face it: Your competitors haven’t been paying their fair share. For example, in 2021, Amazon had $35.1 billion in profits and paid only 6.1%. Most small businesses paid a higher percent of their profits – I certainly did, and I bet you did, too. There were also at least two years Amazon paid no federal income tax.
Under the American Rescue Plan, subsidies made health care more affordable for those buying insurance on ACA exchanges, but those subsidies were due to expire at the end of this year. This bill extends those subsidies through 2025. According to the SBA, the ACA exchanges are disproportionately used by small businesses, their employees and the self-employed.
Overall, the Inflation Reduction Act is a good-size win for most small businesses, and a huge win for some.
About Invest in America
Invest In America is a national rapid response operation advocating for robust public investment to rescue the economy from the COVID crisis and create prosperity for the future, and to fight back against fear-mongers who use deficit concerns as a scapegoat to starve American communities and businesses of resources.
The operation consists of two components: Invest in America, the charitable and public education arm, which is a fiscally sponsored project of Economic Security Project funded by the William and Flora Hewlett Foundation and Economic Security Project co-chair Chris Hughes; and Invest in America Action, the advocacy and social welfare arm, which is a fiscally sponsored project of Economic Security Project Action funded by Chris Hughes and the Omidyar Network.