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Public Statements

Donnelly Supports 20% Tax Cut for Small Businesses

Press Release

Location: Washington, DC

Today, Congressman Joe Donnelly voted for the Small Business Tax Cut Act, H.R. 9, which would allow businesses with fewer than 500 employees to receive a tax deduction equal to 20% of their domestic business income. In Indiana, approximately 97% of businesses have fewer than 500 employees, and therefore would qualify for this tax cut.

"I support tax relief for small businesses because small businesses create jobs," said Donnelly. "My top priority is working until every Hoosier who wants a job has a job, and that commitment means supporting the engine of economic growth in Indiana -- small businesses. Also, as a former small business owner, I understand how this tax cut would help move our economy forward and create jobs."

In more detail, the Small Business Tax Cut Act would allow small businesses with fewer than 500 employees in 2010 or 2011 to deduct 20% of their domestic business income from their taxable income. The deduction would apply to all qualifying small businesses for the current tax year, 2012.

The Small Business Tax Cut Act passed the House of Representatives with a vote of 235 to 173. It will now be sent to the Senate for consideration.

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