Government Cheats Small Businesses

Small-business owners are being ripped off, and the federal government knows it because they are doing it!

I am tired of the federal government taking advantage of small-business owners like myself. Every year when it comes tax time, we are required to pay much more “self-employment” tax. Since 1985, this tax has doubled!

If you operate out of your home, you are penalized even more! While General Motors can deduct 100% of the cost of employee health-insurance premiums from its taxes, small-business owners can deduct only 40%.

Another disadvantage of being in business for yourself is not being allowed to deduct home-office expenses. We can thank the Supreme Court for that 1993 decision.

Fortunately, there is a congressman and a United States senator from Missouri who have introduced a bill to give small-business owners more of the same tax advantages that larger corporations enjoy. Rep. Jim Talent and Sen. Christopher Bond are working on a bill that would:

* Redefine the home office deduction to allow more small businesses to take advantage of it.

* Allow self-employed workers to deduct the full cost of their health-insurance premiums.

Since most small businesses are run by hard-working families, I hope that our local politicians support these bills. I’m also hoping that people will call or write Congressman Elton Gallegly and U.S. Sen. Barbara Boxer and tell them to support the Talent-Bond bill.

GLENN WOODBURY

Simi Valley