80% of family businesses and generationally owned businesses, are organized as a Pass-Through Entity such as Limited liability company (LLC), Limited Partnership (LP), or S-corporation.
Pass-through entities are businesses that aren’t subject to the corporate income tax rate of 21%, instead they pay the ordinary income tax rate of 35%+.
This is because the profits from the business go directly to the family business owners individual income tax return. Because the personal income tax rates are higher than the 21% tax rate for corporations, businesses, generationally owned businesses pay more income tax.
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The need for fact-based reporting of issues important to family offices and successful families and protecting a lifetime of savings has never been greater. Now more than ever, family offices and successful families are under fire. That’s why Family Enterprise USA Action is passionately working to increase the awareness of issues important to family offices and successful families, while continuing to strengthen our presence on Capitol Hill.
Family Enterprise USA Action engages with legislators on Capitol Hill on behalf of family offices, successful families, and family-owned businesses. It is focused exclusively on the critical tax and economic policies that impact them. Since 1995, FEUSA Action has been the leading advocacy group working daily in Washington, D.C., to reduce and eliminate estate tax, gift tax, and generation skipping transfer tax while blocking increased income and capital gains taxes, the creation of a wealth tax, and other hostile policies that punish hardworking taxpayers and success in the U.S. It is a bipartisan 501.c4 organization.
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