"These tax increases will hinder job creation, decrease the competitiveness of American businesses and deter economic growth," Josten said.
House Ways and Means Republicans predict the tax on carried interest will be near 40 percent after the Medicare/Hospital Insurance (HI) tax from the healthcare law is fully phased in. Absent the Medicare/HI tax, the provision is expected to raise $18.7 billion.
Forcing S corporations to pay employment taxes is expected to raise $11.2 billion. Aside from the Chamber, groups like the Associated Builders and Contractors, Independent Community Bankers of America, the National Association for the Self-Employed, the National Federation of Independent Business, the National Restaurant Association, the S Corporation Association, the Small Business Legislative Council and the American Institute of Architects oppose the measure.
The House is expected to vote on the bill this week, with the Senate following close behind. Democratic leaders still hope to have the bill on President Barack Obama's desk before leaving for the Memorial Day recess.