Congressman Jim Himes met with Stamford business leaders to discuss the tax cuts and long-term investment and job creation measures central to the American Recovery and Reinvestment Act of 2009 (ARRA), which is expected to be signed into law by President Obama today. The Board of Directors of the Stamford Chamber of Commerce joined Congressman Himes at a breakfast meeting this morning for a first-hand discussion of key business provisions in the Recovery Act.
"The Economic Recovery Act is a critical component of our economic turn-around," said Congressman Himes. "Tax cuts along with investments in our energy security and infrastructure all included in this bill will help keep and create jobs in Connecticut."
In a letter to Congress Friday, the United States Chamber of Commerce called the ARRA "a necessary step toward getting the U.S. economy back on track. The letter went on to note that, while not perfect, the tax relief and spending provided in the bill will help get Americans back to work.
"The Recovery Act provides important investment and tax breaks to boost our local economy and prepare us for long-term growth," said John P. Condlin, President of the Greenwich Chamber of Commerce. "We look forward to working closely with Congressman Himes on more legislation to help move our economy forward."
Key pieces of the ARRA that will help businesses create jobs and increase their long-term viability include:
Tax breaks to encourage long-term investment with short-term spending incentives: The extension of bonus depreciation and enhanced small business expensing will encourage companies, large and small, to invest in their own infrastructure, energy efficiency, and productivity. Spending on these long-term investments will give an immediate boost to the economy.
Counter-cyclical measures to help businesses weather temporary financial instability as the economy recovers: Five-year carryback of net operating losses will spread the time period over which businesses can claim a loss and reduce businesses' net operating loss by 10 percent.