I am sorry for all the emails but something came up yesterday that could have a serious negative impact to small business. As you all know Small Business California wants to be known as a proactive organization but sometimes we just have to say no.
There is a movement afoot in Sacramento to impose a 3% withholding for independent contractors. So if you hire a sole proprietor or I think a company that is a partnership or LLP you would have to withhold 3% and send it to the state. The money will be held by the state and if there is a return it will be without interest.
Not only will this be a hardship for low margin businesses but another bookkeeping burden placed upon small business.
We need to make our voices heard to our legislators that this is a bad idea.
Please let me know if you would be willing to send a letter to your Assembly person or state Senator. Tell me where you are located.
On a more positive note we had as of 9AM this morning 730 responses to our survey, We got about 400 yesterday. If you haven’t done so already please take a few moments to complete. We will be closing the survey earlier this year due to the overwhelming response we have gotten in the last 5 days
Small Business California
2311 Taraval Street
San Francisco, CA 94116