McCain, Fiorina, and the Phony Small Business Tax Burden

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I noted yesterday that John McCain spent most of his time in front of the Hispanic organization LULAC talking about the economy. He emphasized repeatedly that Barack Obama, who McCain paints as a classic tax-raising liberal, would be bad for small business. They wouldn’t be able to expand or hire with the new tax burden Obama would place upon them. Here’s an example from yesterday’s speech:

“Keeping individual rates low isn’t intended as a favor to wealthy Americans. 23 million small business owners pay those rates, and taking more money from them deprives them of the capital they need to invest and grow and hire. If you believe you should pay more taxes, I am the wrong candidate for you.”

This echoes statements made repeatedly by Carly Fiorina, McCain’s favorite ex-CEO and a top surrogate for his campaign. For example, she had this to say recently:

“When Barack Obama blithely says only the wealthiest are going to be taxed, he is ignoring the fact that 23 million small businesses file as individuals and those small businesses are the only growing sector of the economy right now.”

Here’s the problem. Yes, 23 million small businesses file as individuals. But Obama is proposing to raise taxes on individuals making over $250,000. And according to the Tax Policy Center (as reported by Politico) only 1.4 percent of small business owners make the cut. “Most small-business people, like most everyone else, are not really high-income,” said Eric Tolder, senior fellow at the Tax Policy Center.

For a breakdown of how McCain and Obama’s tax plans would affect you, see this video.

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

Truth #4: When we go to work, we're in the fight.

Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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