Truth Squad: Obama Tax Plan v. Small Business

The next time your Republican friend down the street claims President Obama's latest tax proposal (raising taxes on earnings over $250,000) will hurt small businesses, feel free to reply with a hearty, "Not so much."

In its latest estimate last month, Congress’s nonpartisan Joint Committee on Taxation found that in 2013, just 3.5 percent of small business tax filers would pay a higher rate — about 940,000 individuals, many of whom are lawyers and doctors in partnerships. But those few percent account for 53 percent of all small business income.