Tax cuts help keep the American Dream alive in Georgia and across the nation
Reports of the death of the American Dream are greatly exaggerated. My husband and I are living proof it’s alive and well.
We immigrated to the U.S. from South Africa, spent decades of hard work – literal blood, sweat, and tears – as franchisees, and are now proud owners of the restaurant 1920 Tavern in Roswell.
We feel lucky to be part of this incredible community.
New federal tax cuts will make it easier for other entrepreneurs from all backgrounds to follow in our footsteps and create jobs in their own communities.
The Working Families Tax Cut, signed into law on Independence Day, expands and makes permanent key small business tax breaks that were set to expire at the end of this year.
This tax relief and certainty give Main Street the confidence we need to expand, hire and raise wages.
Small businesses have benefited from tax cuts
The law enshrines a 20% small business tax cut for entrepreneurs. In 2021, there were nearly 26 million claims for the qualified business income (QBI) deduction, according to the Internal Revenue Service. And it restores 100% immediate expensing, allowing us to invest more in our equipment and our incredible staff, whom I consider family.
These tax cuts have been game-changers for small businesses like mine. Savings allowed us to purchase new equipment, new flooring and tabletops that were handmade by a local wood maker. They also allowed us to hire more staff and give our longtime employees much-deserved raises.
These choices ripple through our community: higher wages mean better service, which brings more customers, who support more jobs and a stronger neighborhood economy. It’s a virtuous cycle – and a perfect example of how good tax policy fuels American prosperity.
Economic research from the Tax Foundation confirms the significant impact immediate expensing has on investment, especially for small businesses.
Tax cuts also help my suppliers – my bakers, butchers and gelato makers – keep their costs low, allowing me to keep prices steady for my customers. That means a lot given the broader cost-of-living pressure many people face.
Ordinary Americans are benefiting from tax code changes too
One of the most exciting aspects of this summer’s tax cuts is no tax on tips. New reports indicate the average tipped worker will save $1,700, but my experience suggests many restaurant servers will save thousands more. They deserve it. Unlike independent contractors, tipped workers don’t get business deductions. This change makes the tax code fairer for them.
Nearly everyone benefits from these tax cuts – not just business owners or servers, but middle-class families across the country. According to the Tax Foundation, a family with two kids earning $85,000 annually will save $2,474. A single earner making $75,000 will see a $3,378 boost.
That’s real money – for car payments, utility bills, or, yes, dining out – money that’s staying in our communities instead of being sent to Washington.
That’s why I was disappointed that both of Georgia’s U.S. senators, Jon Ossoff and Raphael Warnock, voted against these tax cuts – and why I’m frustrated by the misinformation online claiming they only help “billionaires.” The truth is simple: they help people like me, my workers, and my customers.
These tax cuts keep the American Dream alive – for anyone willing to work for it.
Jenna Aronowitz owns 1920 Tavern in Roswell and is a partner at Job Creators Network Foundation.
