Tax Reform Making a Difference Where the Rubber Meets the Road

When Robin and I were 25, we took our hard-earned savings and started our own construction business. I’m sure my wife, Robin, would agree that it was tough growing a business while we raised our young family, but with a lot of hard work, we were able to follow our dream and successfully grow our own construction company.

Under our old tax system, however, many small businesses had barriers to growth; the tax code was complex, burdensome and oftentimes a roadblock to success. It is hard enough to succeed in business without the United States Government working against you.

That all changed when a little over six months ago, Congress passed comprehensive tax reform, which was quickly signed into law by President Donald Trump.

Over the past six months, I have had the opportunity to visit with many small business owners across the 12th district of Georgia to discuss how tax reform has been making real changes for them, their businesses, families and employees. I want to share the story of Georgia Tire Company, a 72-year-old business located in Vidalia.

In 1946, two brothers returned home from World War II and decided to buy a small gas station together. One of their sons, Rusty, began working alongside his father and uncle during the summer of 1965 and started working full-time at the family business in 1972. Beginning in 2000, a third generation started working there.

Now, Georgia Tire Company is known as one of the most reputable family businesses providing automotive repairs in Toombs County and selling wholesale tires throughout Southeast Georgia. The Moses family built their business through luck, hard work, treating customers fairly and most importantly, through their employees, who are treated like part of the family. Georgia Tire Company currently employs 14 people who have been there from 5 to 33 years.

When I had the opportunity to speak with Rusty Moses about the success of his family business, he told me that his employees are hard-working, honest, law-abiding people, but he lamented the high tax rates and complex laws that were stifling their income. Mr. Moses told me that he had been following the tax reform discussion for years, and that he promised his employees major changes if the laws were reformed.

He promised his employees that they would share in the business’ tax savings through performance bonuses and salary increases. Now, flash forward six months, and thanks to comprehensive tax reform, Mr. Moses was able to keep his promise to the Georgia Tire Co. family. Employees have already seen increased take-home pay and two additional bonuses due to the new tax law -- and that’s only in the first six months!

“We’re all better off than we were a year ago, and when (Georgia Tire Co.) saves more, (the employees) get more,” Mr. Moses said.

There are so many family businesses, like Georgia Tire Co., who are truly the lifeblood of our communities. Before tax reform, many businesses were struggling to make ends meet, let alone expand or increase benefits. Don’t just take my word for it, and don’t just take Mr. Moses’ word for it – look at the facts. Fact: There are thousands of Georgians who have already seen the positive effects of tax reform with lower utility costs, increased wages, and bonuses. Fact: Unemployment is at its lowest rate in nearly two decades. And for the first time in history, there are more job openings than job seekers.

I was proud to do my part to deliver the first major tax reform legislation in 31 years, and I look forward to continuing to work with my colleagues in Congress and the Trump administration on any policies that spur growth, create jobs, and reduce the size and scope of this government.

Rep. Rick Allen represents the 12th Congressional District of Georgia.

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