Tax Bill Yields Results
A gradual reduction in the estate tax is viewed as a boon for small business owners, although Democrats disagree with the logic. The 'pro' side sees the reduction as a winner, while Democrats only view it as helping those with greater incomes.
A tax provision passed last December was repealed that required small business owners who sold their companies to pay tax on the entire values of the sale in the same year they sell, despite using seller financing to complete the deal. This was a problem because sales are arranged so that the buyer pays for the company through installment payments.
Also affected are pensions, with a gradual increase in the 401(k) contribution limit. The amount of deductible business meals also rose.