Plans Include Limit On Taxes Of Digital Products, Keeping Internet Tax-Free
In comments during a speech at Civic Hall in New York City on Tuesday, Florida Senator and current Republican 2016 presidential candidate Marco Rubio touted the on-demand economy, urging reforms to tax codes and federal regulations in order to help such businesses grow. The Hill reported that Rubio said, “The on-demand economy is a miracle that only American free enterprise could produce. That’s why it’s so shameful that the biggest obstacle to the growth of this platform is our very own government.” In his remarks, Rubio also lamented that the growth of the on-demand economy means “innovative companies are running up against an antiquated tax code, burdensome regulations, and numerous outdated politicians.” Rubio pledged, “I will place a cap on the amount regulations can cost our economy each year. I will also require federal agencies to include an analysis of exactly how each proposed regulation would impact competition and innovation.” He also said that if elected he “would limit the taxation of digital products” as well as “ensure the Internet remains tax-free.” He noted that in Germany, there are “dependent contractors,” a classification between fully-independent contractors and full employees, suggesting this could be a possible model “to address the classification issue but did not give it his support.” Rubio suggested his mother, a maid at a hotel, would have benefited from startups like Handy, a service connecting house cleaners with customers, saying such a service would mean “she would have had total control over her own financial life.”
What This Means For Small Businesses
Though small business owners across the US have different views about who should be the next president, the on-demand economy is a key issue for the 2016 presidential campaign. This means small business owners may get a better idea of where candidates stand on the issue of using independent contractors versus employees. The small business community should prepare for the issue to continue to be publicly addressed by candidates from both parties.
The Hill in an earlier story previewing Tuesday’s remarks reported that Rubio included a chapter entitled “Making America Safe for Uber” in his recent book. The AP also covered Rubio’s Tuesday remarks.
Note: this article is intended to keep small business owners up on the latest news. It does not necessarily represent the policy stances of NFIB.