In a recent city council meeting, local business leaders voiced strong concerns regarding proposed changes to the tax classification system in Gloucester, Massachusetts. Steve, the CEO of the Greater Cape Ann Chamber of Commerce, highlighted the unique challenges faced by small businesses in the area, noting that approximately 95% of Gloucester's businesses fall into this category. He emphasized that many small business owners are also residents and taxpayers, making the financial implications of tax changes particularly significant.

Steve pointed out that the current tax structure already places a heavier burden on businesses compared to surrounding communities, which maintain tax parity. He urged the council to consider the impact of rising costs on small businesses, stating that even minor increases in expenses can be detrimental. He underscored the importance of local businesses to the community, citing their contributions of around $3 million in local option taxes, which are vital for the city's revenue.

Tony Sapienza, owner of the Blue Shutters Beachside Inn and a former chamber president, echoed these sentiments. He argued that the proposed tax shift unfairly targets local businesses, which are still recovering from the economic fallout of the COVID-19 pandemic. Sapienza stressed that the majority of businesses in Gloucester are small and employ local residents, making them integral to the community's economic health.

Both speakers called for the council to reconsider the proposed tax changes, advocating for a balanced approach that recognizes the contributions of small businesses while also addressing the needs of homeowners. Their testimonies reflect a growing concern among local business owners about the sustainability of their operations in the face of increasing financial pressures.