The president calls on Congress to approve budget proposals that would assist small businesses and start-ups. President Obama is asking Congress Tuesday to pass measures to aid small business owners and reduce barriers to success for start-ups.
Obama’s package, which will appear in Obama’s 2013 budget proposal, draws on previous initiatives by the president as well as bipartisan legislation that has either been proposed in the Senate or has already passed in the House, notes the Associated Press.
The president’s legislative package would:
- Create a 10 percent tax credit for small businesses that add jobs or increase wages in 2012
- Eliminate taxes on capital gains for investments in small businesses
- Extend for a year the ability of businesses to immediately deduct purchases of equipment and software
- Expand the Small Business Investment Company program from $3 billion to $4 billion
- Increase the amount of money that can be raised through small public offerings—from $5 million to $50 million per year—that don’t require the same registration process through the SEC.
“Our small business agenda has a specific focus on removing the barriers that have for too long blocked startups and entrepreneurs from getting the financing they need to accelerate their growth and hiring,” Gene Sperling, director of the White House National Economic Council, told the AP.
The White House did not release the total cost of Obama’s package, but Sperling told the AP that it would be “more than covered by proposals to reduce tax expenditures and by closed loopholes the administration will call for in its 2013 budget.” –Abby Tracy