Amending the definition of “employee” to include the owner of a sole proprietorship would allow them to take advantage of fringe benefits such as a Health Reimbursement Account plan, retirement plan contributions and health insurance premiums without the owner having to form a corporation and incur additional expenses.
Allowing for the self-employed heath insurance deduction to become a permanent business expense by making it a line item on Schedule C rather than on Form 1040, making the deduction a business expense comparable to the way it’s treated for big businesses.
Simplifying the definition of independent contractor versus employee to reduce any misunderstanding by small businesses of its workers’ statuses.
Streamlining depreciation calculations, reporting requirements and accelerated options for many standard business items and amounts to simplify the deduction process.
Creating a Standard Schedule C-EZ by expanding as many standard deductions for business expenses as possible.
Even President Barack Obama believes we need a fairer and simpler tax code; now it’s your turn, Congress. By considering simple adjustments to the tax code, our community and our contributions will help ensure a robust tax overhaul plan that’s equitable for all. Our small businesses generate nearly a billion dollars annually for the national economy. It’s not enough to talk about how our businesses provide the economic fuel for our nation without taking the sufficient policy actions to help ensure our growth. It simply isn’t sound economic or tax policy for Congress to overlook the health of America’s smallest businesses, because when we succeed, America thrives.
Kristie Arslan is the president and CEO of the National Association for the Self-Employed, a resource for micro-businesses and the self-employed.
Terri Henderson, 6, center, whose mother is El Salvador, attends a rally with members of Congress at Union Station's Columbus Circle to announce the Restore Opportunity, Strengthen, and Improve the Economy (ROSIE) Act on July 29, 2014. The legislation provides incentives for government contractors to pay a living wage and other benefits that would help low-income workers.