Small businesses create 60 to 80 percent of all new jobs in America according to the Small Business Administration.  In Mississippi, small businesses and entrepreneurs drive innovation and spur economic opportunities.  Many across the country are eager to start new companies and invest, but they refrain from doing so because of the harmful policies coming from Washington.

To help bring down the unemployment rate, we need to make sure that the federal government does not hamper these job creators.  Last year, Democrats in Congress passed several bills that will negatively impact small businesses.  Obamacare, which includes $500 billion in new taxes and complicated new regulations, is just one example of this harmful approach.  In this new Congress, I am working to overturn these policies and replace them with solutions that make sense.

                    Repeal of an Unnecessary Burden

As a way to fund the President’s expensive health care plan, Democrats included a provision requiring every company, nonprofit, church, and local and state government entity to submit an IRS 1099 form when goods purchased from another business exceed $600 in a year.  The new mandate in the health care bill would bury businesses in paperwork, forcing them to file forms for routine expenses like phone, Internet, office products, and shipping costs.  This onerous tax provision is estimated to have increased reporting requirements by as much as 2,000 percent. 

Fortunately, the House recently voted on a bi-partisan basis to repeal the new 1099 requirement.  The Senate is expected to vote on the same repeal this week, and I will fully support it.  This is an important step toward overturning the worst parts of the law before they can be implemented.  Other provisions, like the health insurance mandates, impede job creation and need to be addressed too.

                              Encouraging Innovation

In another bi-partisan move to help job creators, the Senate overwhelmingly passed a bill that would update our nation’s patent system, which has not been substantially changed in nearly 60 years.  Finding ways to encourage innovation and ingenuity so Americans have the opportunity to start up a business or create something new is integral to our economic system in an increasingly competitive global marketplace.  This bill would give the U.S. Patent Office the tools it needs to process the 700,000 backlogged applications, while strengthening and streamlining the process for future applicants.  These changes will greatly benefit Mississippi’s colleges and universities where ground-breaking ideas are being developed.  In addition, the bill does not add to our current deficit.

                         Overspending Hurts Job Creation

The current debate in Washington over spending also has a direct impact on small businesses and risk takers.  The Treasury Department projects the federal debt will reach more than $14.1 trillion this year.  We must stop spending money we do not have.  A failure to make meaningful cuts now will result in higher taxes on families and businesses, stifling job prospects.

I hear from hundreds of Mississippi entrepreneurs and small business owners who struggle to make difficult decisions to stay afloat each month.  Operating one of these businesses is a challenging endeavor with many risks.  Rather than overburden these job creators, we should work to create stability and certainty.  The economic opportunities generated by these businesses can be seen throughout Mississippi, and Congress should be working to support them.

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