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Business tax news everyone needs to know about right now

During the past few weeks, the House and Senate have worked diligently to try to pass a tax bill that would completely revamp America’s tax system.Experts believe that the new tax bill could have a negative impact on a lot of people. However, it could prove to be overwhelming beneficial for most businesses in the United States.

As a modern business owner, it is absolutely pertinent to remain up to date with the latest tax news and the tax bill is definitely incredibly important. Below, the consumer will learn a great deal more about the latest tax news and its impact on businesses across the country.

Slight increase

In the beginning, the Trump administration and Republicans in the Congress were shooting for a 20-percent tax rate for corporate. Unfortunately, this has changed slightly during the past few days. Now, it seems that Trump and his comrades are willing to settle for a tax rate that is slightly higher.

The Republicans have seemingly agreed to approve a corporate tax rate of 21 percent. It is important to realize that this is still a major decrease from the current corporate tax rate. Nevertheless, it shows that Trump and his Republicans are willing to concede to seal a deal.

Small businesses

Another thing to remember is that small businesses will be helped tremendously by the tax bill. NFIB CEO Juanita Duggan seems to agree. She recently appears in a Fox News segment and she concluded that small business optimism has climbed higher and higher, as the tax bill has approached. With that being said, small businesses should realize a moderate tax cut should the tax bill actually be passed through the House and Senate. It would definitely be a good time for individuals to remove tax lien from your credit report and get back on the right track.

 Drug research

Pharmaceuticals manufacturers may actually be negatively impacted by the GOP’s tax bill. This is the case, because there is a new provision that would cut the benefits provided for orphan drug research. This could prove to be negative for the company and individuals that rely on future breakthrough drugs.

In return, this could slow down any progress made on investigating new drugs. Companies that usually research and develop these drugs may be forced to slow their progress, due to the loss of the tax credit. This could also decrease the patient’s likelihood of getting access to breakthrough drugs that they need so much.

Banks see problems

Finally, financial businesses, such as banks, are beginning to see huge problems with the tax bill. These institutions believe that a provision in the bill could make running a bank business much more expensive. This would include transactions in the form of a $2 trillion repurchase obligation. Foreign banks agree.

They believe that the tax provision will make it much more expensive to run an operation inside of the United States. It is unknown how this could impact the consumer and whether or not the tax bill will actually pass in the first place. At this point, it is simply touch and go.

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