Opinion: Trump talks taxes, small businesses respond

To coincide with Tax Day earlier this month, President Trump visited Florida to discuss his recently passed tax cuts and the impact they are having in South Florida and across the country.

There's plenty to celebrate. Small business owners get a new 20 percent tax deduction as part of the tax cut, the biggest small business tax cut in the country's history. This will allow the small business and sole proprietor backbone of the Florida economy to reinvest more of their earnings into new product lines, new locations, and new employees. 

Consider the story of Jose Mallea, owner of Biscayne Bay Craft Brewery, who participated in President Trump's event. The tax cuts have allowed him to purchase $100,000 more in equipment and hire two new employees.

There's no small business owner I talk to who isn't thankful to be able to protect one-fifth of his or her earnings from taxes. For some marginal small businesses, it will make the difference between staying in business and closing.

My business is no different. We're using our tax cut savings to raise wages, hire new staff, and add even more features and equipment to our brand new headquarters — a 44,000 square foot office building in Clearwater.

The tax cuts also included relief for big businesses. Their tax burden was brought in line with international corporate tax norms. With these savings, over 500 companies have raised compensation for over four million employees across the country. Considering that big businesses are often small businesses' biggest customers, their tax cut victory is shared by small businesses as well.

In addition to take-home pay going up in the workplace, it’s rising at home, too, where tax bills are shrinking and tax credits are on the rise. A family of four with an annual income of $75,000 will see their taxes cut in half. A median family can expect about $2,000 in additional tax cut savings.

High tax proponents argue that tax cuts benefit the rich. But nonpartisan analyses show, the tax burden on the richest actually goes up under the new tax code, and the burden on the least well off goes down. Income tax for Americans on the middle of the scale is dropping by about a third.

The truth is the overhaul of the federal tax code delivers the right cuts the right way at the right time. It’s structured fairly, it’s built to incentivize steady job creation and growth, and it delivers well-earned relief to hardworking Americans on Main Street.

The nonpartisan Congressional Budget Office recently revised upwards its economic growth projections to 3.3 percent for the year because of tax cuts.

As more Americans have learned about the benefits of tax cuts, more are supporting them. The more Floridians hear about how tax cuts are affecting their small businesses, the more this support will grow. That's why President Trump's visit and the stories shared are so important.

Michael Plummer is CEO of Our Town America.