The Confusion Over Small Business Taxes

This time of year, politicians love to promise tax breaks for small businesses. But some times, those tax breaks aren’t really aimed at small businesses.

Good Morning!

Here are today’s highlights:            

• Do manufacturers of commodities warrant protection from foreign competition?

• In a hybrid world, do summer Fridays still have meaning?

• Perhaps we can learn something from the world’s most profitable porn business.

• Yes, even in Texas, it’s possible to have too many BBQ joints.

FINANCE

Ami Kassar says that if your bank says you can’t get a line of credit because you have an EIDL, you should find another bank: “​​I was struck to hear two stories of business owners whose local banks turned down lines of credit because they have a Covid-19 EIDL loan. Their banks are making an excuse! While it is likely that their banks want to have a first lien on company assets in exchange for the line of credit, they can easily request from the SBA that they subordinate their lien position. So, if your bank is giving you the EIDL excuse, find another one.” READ MORE

THE 21 HATS PODCAST: DASHBOARD

The Confusion Over Small Business Taxes: This week, Gene Marks tries to sort through some confusion. First, he talks about Kamala Harriss’s proposal to increase a small business tax deduction tenfold, which sounds great except that it’s not really going to help small businesses. And then he addresses the comments of a Houston CPA who asserts that small businesses have the best tax deal in America. Gene sees it a little differently.

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