Last week I wrote a letter to Senators Bob Casey and Arlen Specter of Pennsylvania expressing my opposition to a provision written into a bill currently under review by the Senate. The bill is called American Jobs and Closing Tax Loopholes Act.
Sounds great, doesn't it? No one wants people to get away from paying their taxes because of a "loophole." The problem is many of the so-called loopholes are not really loopholes; they have legitimate purposes to help grow small businesses. They are touted as loopholes to give the bill broad appeal.
This legislation will negatively affect EVERY real estate agent and broker who has established an S-Corporation as well as thousands of other small businesses in the U.S.
But we can argue the merits of the bill another time or not at all. I don't wish to discuss politics per se.
My frustration stems from the fact that 1) Senator Casey clearly did not read my letter and is pushing full steam ahead to pass the legislation and 2) Senator Specter has not even bothered to respond.
Here is my letter:
Dear Senator Casey,
It has been brought to my attention that the bill (H.R. 4213) currently being reviewed by the Senate contains provisions which would essentially eliminate the exclusion of Social Security and Medicare taxes from distributions taken by many small businesses (like mine) operating as an S-Corp. Although this may be presented as "closing a loophole," it nothing less than a significant tax increase on hardworking, small business owners like myself.
I am writing to let you know of my strong opposition to this provision in H.R. 4213 and to ask that you not vote for this bill without amendment to remove this provision.
Congress needs to first cut spending and entitlement programs and not continually look to hardworking taxpayers as an infinite source of revenue with which to play politics and buy votes. Please do the right thing with this bill and vote to not strap small businesses and families like mine with this significant and unfair tax increase.
Sincerely,
Lisa Loper
Lansdale, PA
Did he even read my letter? Does he even understand what "loopholes" he is closing?
Here was his "canned" response... which has no reference to my concern... why did I waste my time?
Dear Mrs. Loper:
Thank you for taking the time to contact me about H.R. 4213, the American Jobs and Closing Tax Loopholes Act. I appreciate hearing from you about this issue.
Currently, the Senate is considering the American Jobs and Closing Tax Loopholes Act. This bill includes numerous provisions ranging from an extension of important tax provisions that assist small businesses to emergency assistance for individuals and state governments. Below please find a brief overview of some of the key provisions:
Preventing Outsourcing includes a package of provisions to curtail abuses of the U.S. foreign tax credit system and prevent companies from benefiting by sending jobs overseas.
Tax Cuts for American Families and Workers puts money back in the pockets of working families through a tax cut for college tuition, property and sales tax deductions, and a tax cut for energy-efficient homes.
Job Creating Tax Incentives renews a number of tax credits for businesses, including: the research and development credit, enhanced capital investment depreciation, and tax cuts for small businesses that continue to pay military reservists that have been called to active duty.
Disaster Relief Measures provides funding for oil spill response, National Flood Insurance, and mine safety, among other provisions.
Youth Summer Jobs supports over 350,000 jobs for youth ages 14 to 24 through successful summer employment programs.
Extension of Emergency Unemployment Compensation (EUC) extends EUC through November 30, 2010.
There are numerous other provisions included in the American Jobs and Closing Tax Loopholes Act. For a summary and a link to the full text of the legislation, please visit http://finance.senate.gov/. In addition, please note that the bill in its current form does not include an extension of the COBRA Premium Assistance Program. However, I have introduced an amendment, along with 27 other Senators, which would continue the program through November. As we recover from the economic recession, we must continue to support vital safety net programs, such as the COBRA Premium Assistance Program, that our citizens need to support their families.
I am aware that there is an urgency to pass H.R. 4213, as a number of the programs included in the legislation have expired. Please be assured that I am working with my colleagues to overcome opposition from Republicans to provide these beneficial programs. I am committed to seeing this bill passed.
Again, thank you for sharing your thoughts with me. Please do not hesitate to contact me in the future about this or any other matter of importance to you.
If you have access to the Internet, I encourage you to visit my web site, http://casey.senate.gov. I invite you to use this online office as a comprehensive resource to stay up-to-date on my work in Washington, request assistance from my office or share with me your thoughts on the issues that matter most to you and to Pennsylvania.
Sincerely,
Bob Casey
United States Senator
Contact Scott Loper, Associate Broker, Realtor®, RE/MAX Realty Group at 215-513-1333 for help buying or selling a home in Lansdale, Harleysville, Hatfield, Souderton, Skippack, Collegeville, North Wales and the surrounding areas of Montgomery County Pennsylvania. To Search for Homes For Sale in Montgomery County Click Here.
American Jobs and Closing Tax Loopholes Act - Writing to Congress is a Worthless Endeavor - What's the Point? Copyright © 2010, The Scott Loper Team, All rights reserved.
The Scott Loper Team
Scott Loper - Associate Broker
Lisa Loper - Sales Associate
RE/MAX Realty Group
439 Main Street
Harleysville, PA 19438
Ph: 215-256-1200 x-213