For Release — Dec. 9, 2009
Business Council says NY must lower taxes to take advantage of federal jobs plan
ALBANY— “President Obama's Job Plan recognizes that small businesses are the engine of job creation and need help to create new jobs and lead us out of this recession,” said Kenneth Adams, president and CEO of The Business Council of New York State, Inc. “But for New York small businesses to truly benefit and create jobs the state must also ease their tax burden.”
The Business Council supports several of the President's proposals including:
- A one-year elimination of the tax on capital gains from new investments in small business stock.
- The extension of a provision that allows small businesses to immediately expense up to $250,000 of qualified investment.
- A provision that accelerates the rate at which business can deduct the cost of capital expenditures.
- A short-term tax incentive to encourage small business hiring and eliminating fees for businesses that take Small Business Administration loans in 2010.
“All of these provisions can encourage entrepreneurs to invest and create jobs. But New York will lag the nation unless our tax burden is reduced,” said Adams.
The Business Council pointed to the fact that the last state budget increased the state's personal income tax (which many small businesses file under), increased energy taxes, health insurance taxes and other assessments and fees.
“At a time when we need business, especially small businesses, to create new jobs New York piled on billions of dollars in new taxes,” added Adams. “If the state doesn't begin reducing that burden in the next budget then New York will see economic recovery delayed compared to the rest of the nation.”