Washington, DC -- Today in Missouri, President Trump stumped for the business tax cuts he’s been pushing for months, warning that he “really doesn’t want to be disappointed” when Congress returns to Washington next week.
The Main Street Alliance, a national network of small business owners, issued the following statement in response to Trump’s speech on business and tax:
President Trump’s speech today was riddled with inaccuracies about both the nature of the tax cuts he’s proposing and the people and businesses they will benefit. Though framed as a boon to small businesses, the economy, and working families, in practice, the overwhelming majority of small businesses and taxpayers would see little to no benefit from Trump’s tax cuts.
In practice, only 7 percent of business owners would pay less in tax under Trump’s plan, while more than three-quarters of the tax cuts would go to the richest 1 percent of business owners. That richest 1 percent would get an average tax cut of $75,000 each year. These are not Main Street shopkeepers – they’re the hedge fund managers, Wall Street lawyers, and real estate developers who could exploit the loophole created by the reduced business rate to dodge paying their fair share of taxes. In order to pay for these huge tax cuts for the wealthy, Main Street would see basic living standards like Social Security, Medicaid, Medicare, and education slashed.
Small business owners know investments in their communities are returned over time with more customers, better buildings and roads, and a local economy that is stronger overall. Far from investing in Main Street, Trump’s tax cuts deprive communities of the vital revenue they need to thrive, both now and for years to come.