Small Biz Owners: Big Businesses, Millionaires Not Paying Fair Share

 

The American Sustainable Business Council, Main Street Alliance, and Small Business Majority released a new poll yesterday gauging small business owners’ opinions on taxes. On everything from the tax rates of the wealthy to corporations' exploitation of loopholes in the tax code, small business owners from across the nation say big businesses and millionaires aren’t paying their fair share.

Out here in the fields / I fight for my meals / I get my back into my living

Nine out of ten small business owners believe large corporations use loopholes not available to small businesses to avoid paying taxes – taxes those same small businesses have to pay. A similar percentage of small business owners see the use of accounting gimmicks by U.S. multinational corporations to shift profits overseas – and thus avoid paying taxes on those profits – as a serious problem.

A majority of respondents supported policies that require the wealthy to pay more taxes. Fifty-one percent of small business owners want to see the Bush tax cuts for the wealthy expire at the end of the year, while 81 percent disapprove of the carried interest loophole that allows hedge fund managers to pay the capital gains tax rate on their income (currently at a modern low of 15 percent).

The survey polled only businesses with 100 employees or less. Other trade associations who claim to represent small business interests often count businesses with 500 or even 1500 employees. The poll also included a representative sample of political leanings: 50 percent of those polled identified themselves as Republicans or independents leaning Republican, 32 percent identified as Democrats or independents leaning Democratic, and 15 percent were independents without political party leanings.

Image by Flickr user dubnars used under a Creative Commons license.

(Gary Therkildsen* 02/07/12; 17 comments)

New Poll Shows Small Business Owners Value Regulation, Name Weak Demand as the Primary Obstacle to Job Creation

 

In a new national poll commissioned by the American Sustainable Business Council, Main Street Alliance, and Small Business Majority, small business owners named weak customer demand, not standards and safeguards, as the most important problem facing their businesses right now. In fact, a majority of the small business owners surveyed agreed that fair, effective regulation of business is necessary to ensure competitiveness and fairness in a modern global economy. Small business owners also support policies that ensure environmental health, food safety, and worker protection for customers and communities. The results show that small businesses want real solutions to actual problems, not more anti-regulatory rhetoric from policymakers.

The polling surveyed a politically diverse cross-sampling of small business owners (50 percent identified as Republican) with fewer than 100 employees. Small business owners cited weak customer demand as the most important problem they face, with more than twice the number of employers citing it over any other issue. The rising cost of health coverage and other benefits came in second, and the level of government regulation came in at a distant third.

SBM Feb 2012 poll graph (courtesy Small Business Majority)
Graph courtesy of Small Business Majority

Similarly, small business owners do not view cutting regulations as a solution to the nation's ongoing jobs shortage. When asked what would do the most to create jobs, the majority cited eliminating incentives for employers to move jobs overseas. Reducing regulations ranked fifth on the list, with only 10 percent supporting that approach.

Also included in the findings:

  • Small business owners see regulations as a necessary part of a modern economy: 86 percent of small business owners agree some regulation of business is necessary for a modern economy, and 78 percent said some regulations are important to protect small businesses from unfair competition and to level the playing field with big businesses.
  • Respondents feel strongly that specific regulations play an important role: 84 percent support policies that ensure food safety for businesses and customers that buy or sell food products, and 80 percent support disclosure and regulation of toxic materials.
  • Small business owners also support environmental quality and clean energy policies: 79 percent of small business owners support having clean air and water in their community in order to keep their families, employees, and customers healthy, and 61 percent support standards that move the country toward energy efficiency and clean energy.
  • The owners also highlighted the importance of enforcing rules on the books, including against large corporations.

These results echo those of previous polls and surveys illustrating the clear disconnect between overheated Capitol Hill rhetoric about regulations and the real problems facing small business owners. The poll report concludes that “[r]egulations, while a hot topic within the Beltway, are not Main Street small business owners’ main concern, and they would rather their representatives focus their efforts on other job creating strategies.” As stated by Main Street Alliance leader Jim Houser in yesterday's press release, “These survey results underscore what Main Street small business owners have been saying all along: we need more customers, more demand, not deregulation.” Houser said that in his experience, “smart standards help create jobs and promote innovation in the U.S. economy.”

As anti-regulatory attacks continue in Congress, let’s hope these poll results serve as a reminder that regulation is not the problem, and gutting public protections is not the solution.

(Katie Greenhaw 02/02/12; 14 comments)