Letter to the editor: Allow Montana's small businesses to grow

The month of May is Small Business Month, a time to recognize the entrepreneurs, shop owners, and builders who keep Montana’s communities thriving. Small businesses are not just storefronts; they represent family legacies, job creators, and the heartbeat of our towns.

Private equity is behind many of these businesses, acting as a vital driver of local growth. In communities across Montana, it helps entrepreneurs transform ideas into thriving companies. These investments not only support bottom lines; they empower employees with strong benefits, career-building opportunities, and even ownership, giving them a real shot at long-term financial stability. We should encourage more of this kind of investment, not less.

Private equity has contributed $4 billion to our state’s GDP, and its impact is growing. This is largely due to carried interest, which rewards investors only when a business succeeds. Taxing it as ordinary income would deter the long-term investments that fuel innovation and job creation.

It’s concerning that Washington is considering raising taxes on carried interest, penalizing the very risk-taking that fuels growth. The current structure, preserved in the 2017 Tax Cuts and Jobs Act, strikes a critical balance. Congress should protect it.

Let’s not undermine what’s working. This Small Business Month, we should celebrate the tools that empower local entrepreneurs and oppose policies that threaten their future. Congress should maintain smart tax policy and allow Montana’s small businesses to keep doing what they do best: grow.

Trevor Roesch,

Marion