Small business owners fret over cliff, want lower tax rates

Small business owners are really fretting about the outcome of fiscal cliff negotiations.

In a survey from Sage North America, 70 percent said they’re concerned how negotiations between the White House and Congress over the package of tax increases and spending cuts will turn out.

“The uncertainty related to the fiscal cliff has the potential of impeding economic growth, particularly among small businesses … ” said Sage executive Connie Certusi. “The lingering uncertainty around tax rates could continue to have a chilling effect on the economy and small businesses alike. Small business owners are resilient, but uncertainty is the enemy of growth. Consequently, small business owners are counting on swift resolution to the fiscal cliff.”

When small business owners were asked about their support for ending the Bush-era tax cuts for couples making over $250,000, 58 percent said they would like lower tax rates while limiting deductions.

When asked how their businesses have performed in 2012, 85 percent said fair, good or very good. But 48 percent said their outlook for next year is now worse than it was before the November elections.