U.S. Senator John Thune (R-S.D.), Chairman of the Senate Republican Conference and a member of the Senate Finance Committee, today said a new report by Ernst & Young is further evidence that President Barack Obama's small business tax hike would kill jobs and hurt the economy. The new study found that the president's proposed tax hike on nearly one million businesses would slash over 700,000 jobs, shrink the economy by 1.3 percent, reduce investment by 2.4 percent, and cut wages by nearly 2 percent.
“This report further confirms that President Obama's small business tax hike is a direct attack on the middle class," said Thune. "More than 700,000 Americans stand to lose their jobs if the president has his way and taxes are increased on nearly one million businesses nationwide. Many American families are struggling to make ends meet, yet the president's tax hike threatens to cut wages by nearly 2 percent.
“With over 23 million unemployed or underemployed, America cannot afford President Obama's election-year small business tax hike. Just two years ago, President Obama said allowing taxes to increase would have been "a blow to our economy" and 40 Senate Democrats agreed. Economic growth is worse today than it was in 2010. Raising taxes was a bad idea then, and it's a bad idea now.”