(The Republicans know it's not true, but they are masters at hiding behind this lie, because no one in the media ever calls them on it. Tweety, that includes you. I understand she's also the one corporations go to whenever they want something done--although she sounded a bit desperate here in defending the Ryan plan and attacking President Obama's plan.)
BIG MISCONCEPTIONS ABOUT SMALL BUSINESS AND TAXES
By Chye-Ching Huang and James Horney
Supporters of various tax benefits for high-income households often claim that failure to maintain them would have an undue effect on many small businesses. But even assuming a broad definition of “small business,” such claims are often exaggerated or false.
First, critics charge that allowing the 2001 tax cut’s reduction in the top two marginal income tax rates for individual taxpayers to expire as scheduled would affect a large proportion of small-business owners. In fact, only 1.9 percent of filers with any small-business income are projected to face either of the top two income tax rates in 2009.1 By contrast, more than 14 percent of filers with small-business income claim the Earned Income Tax Credit (EITC) for low-income workers. Thus, strengthening the EITC could help more than seven times as many small businesses as reducing the top income tax rates.
more...
http://www.cbpp.org/files/8-29-08tax.pdf