The National Small Business Association has released its Tax Reform Checklist outlining nine key principles that any serious tax reform proposal ought to include.
The NSBA said the current U.S. Tax Code is wildly complex and inherently unfair to small business, with nearly half reporting they spend more than 80 hours every year on federal taxes alone.
"Simply because Congress has put on hold the need to address the growing national deficit and impending sequestration, doesn't mean we will," stated NSBA president and CEO Todd McCracken in a statement. "Our members are serious about tax reform and we hope policymakers are too."
Tax reform and addressing the national deficit are among the top issues that small-business owners want Congress to address. These priorities, coupled with the failure of Washington, D.C., to work together on a solution, spurred NSBA to develop its Tax Reform Checklist as a guide for lawmakers who must soon tackle the inevitable task of getting our financial house in order.
The nine principles of the NSBA Tax Reform Checklist are:
• Designed to tax only once
• Stable and predictable
• Visible to the taxpayer
• Simple in its administration and compliance
• Promote economic growth and fairness between large & small businesses
• Use commonly understood finance/accounting concepts
• Grounded in reality-based revenue estimates
• Fair in its treatment of all citizens
“While we believe strongly that the Fair Tax is the best way to proceed, the dire financial situation we find ourselves in necessitates that we—lawmakers included—work together to find a solution,” said NSBA chair Chris Holman, who is also CEO of Michigan Business Network.com and president of The Greater Lansing Business Monthly. “And any solution must adhere to these nine principles.”