Rangel Tax Hike Fact of the Day #2: Tax Plan Raises Taxes on 24 Million Small Businesses

The Rangel Tax Increase bill is touted as a way to eliminate the alternative minimum tax (AMT), and to cut taxes on corporations. What Charlie Rangel won’t tell you is that he pays for these welcome tax cuts with jobs-destroying tax increases on small businesses.

There are 19 million sole proprietorships, 3.3. million S-corporations, and 2.2 million partnerships in America today. These small businesses pay taxes on their 1040s, and are the most likely to have to pay Rangel’s tax hike. In fact, the Rangel plan would raise the top marginal tax rate on these businesses from 37.9% all the way up to 47.1%.

These tax rates on small businesses haven’t been this high in over twenty years. Millions of small businesses and tens of millions of jobs would be destroyed with Charlie Rangel’s tax hike.