Our elected officials continue to talk through potential agreements on tax reform – at least that is what we are seeing reported in the media recently.
While it would be nearly impossible to find any business owner or working individual who believes that our tax code is a functional system that promotes growth and opportunity, there has been a great deal of criticism that needs to be ironed out.
Recent debate around tax reform should be encouraged, but we cannot allow this to prevent comprehensive reform from getting accomplished, because the only thing worse than certain provisions in these plans is having to endure our current tax code any longer. The Florida State Hispanic Chamber of Commerce (FSHCC) and our 38 chapters, who proudly work with over 80,000 minority-owned businesses across the state, stand strongly behind tax reform happening this year.
Every small business owner in Florida is unnecessarily burdened by our outdated tax code. They simply do not have the time or the resources to delve into its 70,000 pages then burdening the cost of hiring an accountant to handle it for them. The complexity of the code costs the U.S. economy over $400 billion per year. Our entrepreneurs and small business owners would certainly be able to put their money to better use by investing in their companies and hiring more people.
These wasted resources are compounded by the high rates, up to 40 percent, that our small businesses already face. By freeing up resources and setting manageable rates we can strengthen these businesses and allow them to focus on things other than paying Uncle Sam. Congress needs to work together and compromise, tax reform has been swept under the rug for years and it is not fair to the constituents who elected them to office. Congress must be held accountable and know that their constituents support them in their efforts to reform the tax code.
We should encourage corporate inversions and make the U.S. the best place to do business. Too many of our great American corporations have moved abroad to avoid our harmful tax code and they have taken their employment opportunities and investments with them. We should focus on change that will help grow the economy, increase wages, and create new U.S. jobs.
The FSHCC supports any pro-growth tax reform plan that comes out of Congress. An overhaul of our code is long overdue and we hope the business community around the country and our elected officials will rally around getting tax reform done. Everyone knows that we need to change our taxation system and we cannot allow minor differences to halt the entire process.
Encourage your Congress members to get tax reform done this year.
Julio Fuentes is President of the Florida State Hispanic Chamber of Commerce