SBIA Cautions Ways & Means Leadership on Proposed Tax Increases
SBIA: “Increasing taxes on small businesses and small business investing will not expand opportunity or create jobs.”
WASHINGTON, D.C. (May 12, 2021) – The Small Business Investor Alliance (SBIA), the association for private equity funds investing in American small businesses, today sent a letter to House Ways and Means Select Revenue Measures Subcommittee Chairman Mike Thompson and Ranking Member Adrian Smith urging Congress to work “to encourage long-term investment in small businesses” and expressing concern about the direction of current tax policy proposals. The letter was submitted to the subcommittee in advance of its May 12 hearing entitled “Funding Our Nation’s Priorities: Reforming the Tax Code’s Advantageous Treatment of the Wealthy.”
SBIA President Brett Palmer stated in the letter, “Small business ‘wealth’ is not a Kardashian lifestyle — it is the ability to pay for college tuition, donate to local churches and charities, and be able to retire with security. Small businesses and small business investing should be depicted honestly and should be at the forefront of policymaking, not the afterthought.”
Small business investors want to work with the Administration and Congress to promote tax and other policies that expand capital access for small businesses and remove obstacles to small business growth and job creation. Encouraging and increasing small business investment expands opportunity for all Americans.
“Increasing taxes on small business investing stunts the ability to build and grow small businesses,” said Palmer. “We need patient investment in America’s problem solvers and job creators to re-energize our economy, create and sustain jobs and to expand upward mobility. We urge policymakers to support job creating policies that encourage new small businesses to open their doors, that empower small businesses to grow and hire, and that include all Americans in the prosperity of free enterprise.”
The SBIA appreciates this opportunity to provide the perspective of our membership and to engage with members of Congress in the ongoing debate over the U.S. tax system. Now more than ever, Congress must work to encourage long-term investment in small businesses as our economy continues to recover from the shock caused by the pandemic.
About the Small Business Investor Alliance (SBIA)
The Small Business Investor Alliance (SBIA) is the premier organization of lower middle market private equity funds and investors. SBIA works on behalf of its members as a tireless advocate for policies that promote competitive markets and robust domestic investment for growing small businesses. SBIA has been playing a pivotal role in promoting the growth and vitality of the private equity industry for over 60 years. For more information, visit www.SBIA.org or call (202) 628-5055.