Business Owners: Tax Hikes Good Or Bad?

http://www.npr.org/blogs/itsallpolitics/2012/12/12/167097266/for-business-owners-higher-taxes-could-mean-fewer-new-hires-or-more


Raising taxes on the rich 2 percent of America certainly targets the business owners, however a very small percent of them actually are affected. But then there is a portion that are right over the threshold of that $250,000 mark off that can avoid the tax hike. These tax hikes can actually act as a incentive for these business owners to hire more workers because it would lower their potential tax rate.

The issue of taxing has polarized the democrats and republicans indefinitely. Democrats feel that the tax hikes for the wealthy 2 percent is the best way to decrease the deficit, however Republicans disagree. Due to this, Congress fails to compromise on this issue creating more conflict and public fear of the "Fiscal Cliff". These party platforms on ideas are so strong in the congressmen that they can't find an agreement on not only this issue, but many others. This is the reason why their approval rating is at a record low. Congress has made it seem like a divided government has no capability in creating compromises to solve issues.

Do tax hikes help the economy as we get closer to the "fiscal cliff"? Would creating a tax hike that business owners can avoid beneficial?