PRESS RELEASE

September 6, 2002

Business Group Survey Finds Opposition to Business Tax Increases From Senate Candidates

CONCORD, NH — A recent survey of the candidates for State Senate in the Primary found that among those responding to the survey, there was unanimous opposition to further increases in New Hampshire business taxation.

Download a summary of the survey responses.
Business Tax Survey - Primary Election Candidate Responses

The survey was sent to all candidates for State Senate who face Primary Election races on September 10th. In it they were asked "Will you vote against an increase in the Business Profits Tax" and "Will you vote against an increase in the Business Enterprise Tax" as well as the candidates' position on the elimination of the BET credit against the BPT, and whether they would oppose efforts to weaken the net operating loss (NOL) carry forward credit in the BPT. Al Sprague, President of the New Hampshire Broadcasters Association reacted by saying "While disappointed in the candidates who did not bother to respond, I was pleased that two thirds did respond, and those that did were 100% in the corner of businesses in the state. The bottom line is that business tax increases are not an option for the coming budget negotiations."

Every candidate that responded said they would oppose any increase in the BPT and would oppose any increase in the BET. In addition, they said they would oppose any effort to eliminate the BET credit against the BPT and said they would oppose any attempt to weaken the law passed in the 2002 session extending the net operating loss carry forward credit in the BPT.

The Business Enterprise Tax (BET), at .75 percent, has risen over 300 percent in the past four years; and the Business Profits Tax (BPT), at 8.5 percent, is now among the highest in the country. According to a recent study by the NH Bankers Association, even a small increase in business taxation creates a significant drag on the state's economy. It would cause crucial reductions in New Hampshire jobs, sales, investment, household earnings and gross state product as compared to a New Hampshire future without further business tax increases.

Nancy Kyle, President of the Retail Merchants Association of NH responded with "It's important that candidates for Senate realize that our state's businesses can not continue to bear increases in the business taxes without putting more jobs and further investment in New Hampshire at risk. I'm glad most of the candidates have listened to the various business groups on this issue and agree with us. Our members will be told which candidates responded and which did not."

The survey was prepared by a group of business organizations which included the Business & Industry Association of NH, Home Builders and Remodelers Association of NH, NH Association of Broadcasters, NH Bankers Association, National Federation of Independent Business/NH, NH Lodging and Restaurant Association, NH REALTORS, and the Retail Merchants Association of NH. The individual organizations will send the results to their members prior to the primary.

In a similar survey earlier in the summer, all five candidates for Governor indicated they would veto increases in the business tax.

The business organizations will release survey results for the rest of the State Senate candidates during the general Election and also plan to survey candidates for New Hampshire House of Representatives regarding their positions on business tax increases.

View a summary of the survey responses: Business Tax Survey - Primary Election Candidate Responses.

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