WASHINGTON D.C., August, 2022 – Three tax policies doing the greatest damage to America’s largest employer, family businesses, have been called out in a recent survey among owners and managers of family businesses.The most concerning tax issue, by a wide margin, was high income tax, according to the survey.
The survey found 45% of multi-generational family businesses said high income taxes were the most negatively affecting their business’ fate. The study was conducted in the first quarter of this year by Family Enterprise USA in its annual study of family businesses in the U.S. The study’s primary sponsor was BNY Mellon Wealth Management. Policy and Taxation Group is an organization comprised solely of families or family offices directly or indirectly impacted by harmful taxes and regulations, including the death tax.
Research shows family businesses make up $7.7 trillion in annual GDP and represent 59% of the country’s private workforce. Family businesses cover a wide cross section of industry, including 23.7 percent in manufacturing, 10.4 percent in construction/facilities, and 9.75 percent in real estate, the study found.
‘Death Tax’ Ranks Second Worst
The next most concerning tax among this group was the estate tax, commonly known as The Death Tax. The research showed 27% were worried about this death tax as it relates to the ongoing viability of their business once the controlling family member passes away.
The third worst tax, according to the survey, was the current capital gains tax. Of the respondents, nearly 14% said they saw a need to lower this tax burden.
“We have new research that shows the depth and strength of America’s family businesses, and what it means to keep them strong,” she said. “Striking down this kind of negative legislation is critical to keeping this sector healthy.”
Soldano is also president Family Enterprise USA, promoting family business creation, growth, viability, and sustainability by advocating for family businesses. It is the sister organization of the Policy and Taxation Group.
For the full details of the “FEUSA 2022 Annual Family Business Survey” can be found at www.familyenterprise.com
About Policy and Taxation Group
Policy and Taxation Group is the leading information, education and advocacy organization working for the reduction and ultimate elimination of estate, gift, and generation skipping transfer taxes, and other taxes that punish hard work and success. Policy and Taxation Group is a 501(c)(4) organization comprised solely of families directly or indirectly impacted by these harmful taxes and regulations. For more information and support go to policyandtaxationgroup.com.
Contact:
Pat Soldano
pmsoldano@policyandtaxationgroup.com
714-357-3140
www.policyandtaxationgroup.com
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