On Wednesday, July 7 Congressman Leonard Lance (NJ-07) and members of the Somerset County business community co-hosted a meeting to discuss key tax relief legislation that would help New Jersey's small businesses create jobs. Several community leaders and elected officials also attended the meeting.
During the meeting, numerous Somerset County business leaders told Lance they support his legislation -- the "Small Business Assistance and Relief Act." The measure would extend tax relief, increase start-up deductions, reduce regulatory burdens and improve lending for New Jersey's small businesses.
"New Jersey's small businesses are not looking for government bailouts," Lance said. "They are looking for free-market solutions to grow, expand and hire. My legislation will help New Jersey's small businesses by extending tax relief, reducing regulatory paperwork and increasing the number of small business loans."
Specifically, Lance's Small Business Assistance and Relief Act would:
* Extend until 2012, tax relief for small businesses including the 5-Year Net Operating Loss Carryback, the 15-year recovery period for qualified leasehold improvement, restaurant, and leasehold property, and bonus depreciation;
* Enhance Section 179 Expensing Limits which provides an incentive to invest in the business;
* Increase the new business start-up deduction from $5,000 to $20,000;
* Reduce regulatory burdens by ensuring any federal regulation does not require a small business to spend more than 200 man-hours annually on paperwork, applications, or petitions, and requiring a GAO Report on the burden federal regulations impose on small businesses;
* Improve lending to small businesses by increasing the maximum loan size in the 7(a) program, creating a direct lending Capital Backstop program for small businesses, and enhancing the microloan program.
Dr. Moshe Ben-Reuven, C.E.O. of Primus Green Energy in Hillsborough, said Lance's bill would help his company hire new employees and purchase new equipment. Ben-Reuven noted the company's 25 employees convert biomass into automotive fuel.
Mike Kerwin, the President and C.E.O, of Somerset County Business Partnership, told Lance that his legislation would provide needed relief to numerous small businesses throughout Somerset County.
"Congressman Lance understands that New Jersey's small business owners are worried about the threat of increased taxes, new healthcare mandates, higher energy costs and more regulations from Washington. Businesses need real solutions, so that they can stay afloat and start hiring again" Kerwin said.