Taxes are not raised on businesses. Truth is taxes on small businesses are passed on to the consumer. So to properly word this, Taxes on small businesses will be on the consumer.
If possible, yes, the tax increase will be passed on in higher prices.
But some small businesses will see their tax rate increase, while their competitors, even smaller businesses, will see their lower Bush tax rates extended. Other small businesses compete with foreign businesses that will not have their tax rates increase.
Whether or not you can successfully “pass on” a tax increase depends on your competitors’ tax situations. Don’t kid yourself, there will be plenty of businesses that CANNOT pass along the tax increase in higher prices, and will instead have to cut employees, equipment, etc.
I have tried to explain that concept to some liberal guys I know. They completely reject the concept even when clearly laid out. It is a lost cause for some until they get hit with the affect in their personal lives so hard that it can’t be ignored.