LANSING – The Small Business Association of Michigan says that gubernatorial candidate Mark Schauer?s proposal to broaden the base of Michigan’s Corporate Income Tax takes Michigan in the wrong direction and would hurt the economic recovery of the state?s entrepreneurs.

?I am aghast that candidate Schauer suggests rolling back business tax reform and returning the tax burden back onto the men and women who are working to create jobs in our state,? says SBAM President and CEO Rob Fowler. ?Why does he think a tax hike on largely middle-class, family-owned small businesses, who are already paying taxes on their business income, is the right thing to do at a time when our entrepreneurial economy (which employs over half of all Michigan workers) is just starting to recover??

SBAM Board Chair Bonnie Alfonso of Traverse City says that claims that 95,000 businesses are not paying the CIT dodges the fact that all small business owners, whether or not they are subject to the CIT, still have to pay state tax on any income.

?Many small businesses are organized as flow-through entities, like S Corps, where income passes through to the owners? personal income tax return. They pay their fair share of taxes on their income. The Schauer proposal would once again subject small businesses to unfair double taxation,? Alfonso says.

Small Business for Michigan today launched the second video ad in a major ?Keep Michigan Growing? digital campaign highlighting the small business successes Michigan has had since the Michigan Business Tax was replaced with the far more equitable CIT.

Entrepreneurs in the video testify how much the eliminated Michigan Business Tax burdened their small businesses. ?Every day, small business owners are stepping forward to tell their story of how they have witnessed first-hand the positive affect Gov. Snyder and the Republican legislature have had on their business,? says Fowler. ?Small businesses thrived under the tax relief package, while some big corporations actually saw a tax increase after the playing field was leveled.?

Tens of thousands of new, good paying jobs have been created by small businesses across Michigan since Gov. Snyder and the Republican legislature eliminated the Michigan Business Tax, Fowler says.

The video can be viewed at KeepMichiganGrowing.Com