rssBack to the Small Business Bill
Friday, September 03, 2010 at 12:14 pm
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Ten days from now, members of Congress will return to Washington from their home districts, and for the Senate, priority number one will be the passage of the small business bill. The $55 billion bill will offer tax breaks and create a fund for small banks to lend to small businesses, a way to gin up lending via the Small Business Administration. It is entirely paid for, including $12 billion in tax cuts. The Independent Community Bankers of America said the bill would create 500,000 jobs in two years.
But it seems Republicans are remaining intransigent on the legislation. They have held it up since July, although the bill is one it’s easy to imagine a Republican Congress putting together and passing.
McConnell said the small-business jobs bill the president is pushing for “may” pass later this month, but cautioned that “it shouldn’t be oversold.”
“There is a little itty-bitty small business bill that no one thinks will have much of an impact on the economy, because they want to stick into it a too-big-to-fail provision and did stick it in. But the larger question is that business is sitting there, hoarding cash because they are concerned of the health care taxes, the health care mandates, the tax increases that are coming in September potentially. This administration has done a lot to discourage business from growing and hiring, and that’s the problem.”
That comment led SBA Administrator Karen Mills to punch back on the White House’s blog.
Not only will the bill immediately help thousands of small business owners get access to capital, but it will also raise the limit on SBA loans from $2 million to $5 million, helping high-growth small firms who are ready to expand, franchisees who want to open a new location, and exporters who need to ramp up to meet a big order from abroad.
And on top of that, the bill has $12 billion in tax cuts for small businesses, including accelerated depreciation, eliminating capital gains on small business investments, and doubling the deduction for start-ups. It’s fully paid for and both the U.S. Chamber of Commerce and the National Federation of Independent Businesses have praised the legislation.
In other words, this is a strong bill. It has broad support. It will give taxpayers a big bang for their buck. And, it will benefit thousands of entrepreneurs and small business owners across the country, including the more than 1,000 who are right now waiting to get an SBA Recovery loan.
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Comment posted September 18, 2010 @ 4:05 pm
Those of you who think high earners should fund the rest of the country are crazy. No one in the is country should work 50% of the time for taxes or for anyone else unless they want to. Quit penalizing high achievers they are the ones that keep this economy going by leaving big tips and spending lots of their hard earned money which creates jobs for you and me. Also Income taxes only scratch the surface of the total taxes we all pay what about social security, sales tax, state inc tax, utilites tax, gas tax, cell phone tax, alcohol & cig tax, real estate tax, I could go on and on. We all pay too much tax.
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Trackback posted October 14, 2010 @ 1:13 pm
Bank of America ramps up small-business banking…
The program involves hiring 1,000 bankers over the next year to specialize in developing relationships and products for mom-and-pop shops, starting in Washington, Baltimore, Dallas and Los Angeles. The bank also said it is on track to “blow away” its…
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