N.G.A. is very concerned over a number of impending tax increases for independent retail and wholesale grocers that will occur without Congressional action before December 31, 2012 such as the expiration of the current individual rates and the estate tax, which will revert back to 2001 levels to the detriment of family-owned businesses.
A “millionaire’s surtax” would have a significant negative impact on many independent retail grocers operating as Subchapter S Corporations and pass-through entities, greatly reducing their operating capital and further hampering their ability to grow and reinvest in their businesses.
Tax increases and uncertainty are not the answer to restoring economic growth. Congress should act now to provide American businesses with long term stability and certainty within the tax code, in part, by making permanent the current individual rates and current estate tax rates / exemption. N.G.A. also urges Congress to extend, through 2013, the Work Opportunity Tax Credit (WOTC), the 15 year straight-line cost recovery for qualified leasehold improvements (including qualified retail improvements), the 100% accelerated bonus depreciation, the increased expensing of up to $500,000 in equipment, re-authorization of New Market Tax Credits, and enhanced charitable deductions for contributions of food inventory.
N.G.A. Tax Policy Position Paper (January 2012)
NGA Small Business Statement 05032012
N.G.A. Letter to Congress on Tax Extenders (January 30, 2012)
Press Release on Tax Extenders
Find out more on N.G.A. actions on specific initiatives: