Is Private/Publicly-Held Business Gap Becoming Increasingly Politicized?

While most of the ever-increasing confrontational political climate generating from the nation’s capital tends to relate to the fabricated “middle class” versus “fat cat” antagonism, there is an even more heated adversity brewing between the nation’s “small businesses” versus the big corporations.

Although these two major driving forces of the U.S. economy have co-existed over the span of America’s unprecedented gross domestic product growth, the White House focus on tax policies, whether intentional or not, are driving an ever-widening wedge between these two titanic economic forces.

What has made this issue particularly toxic is the overwhelming belief by independent businesses that the Obama Administration’s second term policies threaten to be even more onerous to small businesses than those that already exist.

In my numerous contacts with distributors, manufacturers, and contractors that fit that description, the most critical point of contention is the Obama Administration’s focusing on the highest taxation bracket, which impacts an overwhelming number of the “small” business/industry category. Most of these transfer their federal tax responsibility to sub-chapter S or C corporation filings.

Further concerning this category, made up of many hundreds of thousands of businesses which feel increasingly threatened by the onrush of new financial and business restrictive regulations, are more such “hostility” issues, which threaten not only their growth, but their very survival.

They believe that Administration partisans, lobbyists, and preferable tax treatment specialists are primarily geared toward “ big business.” What I am told in increasingly frequent repetition is that the “government-preferred corporate business sector has the added option of shifting specific segments of multi-faceted industries overseas. Their critics ascribe unfair advantages to big businesses. These include usage of offshore tax havens, from which the multi-nationals can repatriate funds to the U.S. as needed.

Within my conversations, the repeated threat of major employment reductions from current levels were cited as mandatory defensive mechanisms to reduce the exposure to resultant cost problems, which the aforementioned owners and managers are sure will be forced on them within President Obama’s second term.

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