Printing company executive Steve Bearden has urged the House Small Business Committee to embrace a comprehensive tax reform policy that would seek to simplify tax rules in order to reduce the impact of tax costs and complexity on small businesses. Bearden is President and CEO of Linemark, a 27-year-old printing and graphic communications company that employs 92 workers in Upper Marlboro, Maryland. Also testifying at today’s hearing was House Ways & Means Committee Chairman Dave Camp (R-MI).
Mr. Bearden testified alongside other small business owners to discuss how Chairman Camp’s proposed tax policy changes would impact their respective businesses and industries. Specifically, Bearden stated support for making permanent higher section 179 expensing levels to spur capital investment and growth, simplifying and expanding the use of cash accounting for the smallest of printers, and he offered feedback on potential reform to the rules for printers organized as partnerships and S-corporations, among other viewpoints.
Bearden zeroed in on industry support for Congress making permanent section 179 expensing to allow Linemark and other small printers to deduct investments in new equipment, computer software, and property up to $250,000.
“In an environment of a rapidly changing communications marketplace, it is vital that small printers be able to continually modernize their product and service offerings,” said Bearden. “When I say I’m in the printing business, I’m often asked if the Internet is killing off my profits. People are surprised to hear it’s quite the opposite; there are tremendous growth opportunities in combining old school ink-on-paper printing with online and social media technologies. But it takes serious capital investment in order for small printers to evolve.”
Printing Industries of America is focused on the small business provisions in forthcoming tax reform legislation as printing remains America’s largest “small” manufacturing industry. The typical plant generates approximately $3.3 million in annual sales and employs 20 workers.
“As Congress considers a major tax code overhaul, it’s important that key committees hear how policies crafted on Capitol Hill would affect a company like Linemark in a practical way,” said Lisbeth Lyons, VP of Government Affairs for Printing Industries of America. “We thank Mr. Bearden for taking time away from running his own company today to make the case for small business tax reform that will ultimately benefit small printers nationwide. We look forward to working with both Chairmen Camp and Graves, along with their counterparts in the Senate, to advance the critical debate on small business tax policy.”