Small business community opposes Prop. 208 in a big way

Chad Heinrich

By Victoria Harker | Chamber Business News

Business groups across Arizona are opposing Proposition 208, saying the initiative, which seeks to tax certain earners to help fund education, would actually hurt small companies at a time when they are struggling during COVID-19 shutdowns.

“This is really the wrong time to be even considering something like this,” said Chad Heinrich, Arizona state director for the National Federation of Independent Business (NFIB), who has dubbed the proposition the “small business destruction act.”

What many voters do not realize is that a large number of small businesses in Arizona file under the individual tax code, not as corporate filers, Heinrich said. If approved, those companies could end up slammed with nearly double the tax rate that big corporations pay.

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