Congressman Leonard Lance (NJ-07) today voted for H.R. 9, the "Small Business Tax Cut Act." The bill, which passed the U.S. House 235-173, would slash taxes for millions of small businesses across the country.
"At a time when New Jersey small businesses are facing high gasoline prices and overall increases in the cost of doing business, the best thing we can do right now is cut taxes for our job creators," said Lance, who noted that 7 in 10 jobs are created by small businesses. "The Small Business Tax Cut Act will provide 22 million small businesses across the country, including nearly 200,000 in New Jersey, with the extra capital they need to hire more workers amid an economy where unemployment remains unacceptably too high."
The House-passed measure would grant a 20 percent tax cut to businesses with fewer than 500 employees. Under the measure, millions of small businesses, as classified by one Small Business Administration definition, would be able to exclude 20 percent of their income from taxation in 2012.
Forbes Magazine publisher and 7th District resident Steve Forbes, also voiced support for the measure earlier today.
"Not only does it allow smaller businesses to keep what they earn, it reduces the price of risk-taking, reduces the price of achieving success, which induces people to raise more capital and put more capital to work," Forbes said.
Lance, who regularly meets with New Jersey's small businesses to listen to their concerns, said providing tax relief to small businesses is the best way to boost the economy and help create jobs. In New Jersey there are 192,244 small businesses with between 1 and 500 employees employing more than 1.7 million individuals.
"Small businesses are the key to economic growth and job creation in this country. It will be small businesses that lead us out of this recession. So it's imperative we give them the tools they need to drive our economy forward," concluded Lance.