RECHARACTERIZATION OF MY TAX
SITUATION IN MARYLAND.
THE BILL HAS BEEN PAID?
THE BILL HAS BEEN PAID.
YOUR OPPORTUNITY TO ASK A
QUESTION.
I THINK I ASK ANDREW A
SIMPLE QUESTION.
IT HAS TO DO WITH HIS BUSINESS
AND ECONOMIC DEVELOPMENT PLAN.
HE PROPOSES A FLAT TAX,
ESSENTIALLY A TRIPLING OF THE
BUSINESS ENTERPRISE TAX.
I APPRECIATE SOME OF THE
INNOVATIVE NATURE OF THAT
APPROACH.
THE FACT OF THE MATTER IS, IT IS
A TAX ON JOBS.
WHEN WE ARE TRYING TO CREATE
JOBS, HOW DO YOU EXPLAIN THAT
PARTICULAR TAX AS A TAX ON JOBS?
WE KNOW THE MORE YOU TAX
SOMETHING THE LESS YOU GET OF
IT.
VERY GOOD.
THE BUSINESS FLAT TAX IS A
PROPOSAL I HAVE PUT FORWARD TO
INCENTIVIZE AND REINVIGORATE NEW
HAMPSHIRE'S ECONOMY.
IT IS A REDUCTION OF THE OVERALL
TAX BURDEN BY CLOSE TO 42% ON
SMALL-BUSINESS OWNERS NEW
HAMPSHIRE.
NEW HAMPSHIRE HAS ALMOST 90% OF
ECONOMY MADE UP OF SMALL
BUSINESS OWNERS.
TODAY, OUR TAX CODE IS COMPLEX.
INDIVIDUALS DO NOT KNOW HOW TO
FILE FOR THEMSELVES.
THEY FILE WITH THEIR
ACCOUNTANTS.
THAT IS A TAX ON SMALL
BUSINESSES, HAVING TO PAY FOR AN
ACCOUNTANT EVERY YEAR.
YOU HAVE TO FIGURE OUT WHAT
ANSWER YOU GET.
WE MUST SIMPLIFY THE TAX CODE.
WE BROUGHT IT -- SECOND, WE
BROADEN THE BASE.
THIS IS A BRAND-NEW MODEL.
THIS IS AN EXPANSION OF THE
BASE.
THAT IS THE WAY RONALD REAGAN
DID IT.
HE EXPANDED THE BASE AND LOWERED
THE RATE.
WE ARE LOWERING THE RATE TO 2%.
WE ARE ALSO DECREASING DIVIDENDS
TAX FROM 5.5% DOWN TO 2%.
THE REASON WHY?
THAT FREES UP CAPITAL.
YOU AND I BOTH KNOW THAT FREEING
UP CAPITAL AND ACCESS TO CAPITAL
IS ONE OF THE BIGGEST CONCERNS
OF BUSINESS OWNERS AND
ENTREPRENE STATE.
WE ARE FREEING THEM TO REBUILD
NEW HAMPSHIRE'S ECONOMY.
