Today, U.S. Congressman Billy Long fought for Southwest Missouri small business owners and their employees by voting in support of H.R. 9, the Small Business Tax Cut Act of 2012. The bill would reduce the tax burden on our nation's small businesses, giving them more opportunities to create jobs and grow.
"Some in Washington like to think that jobs are created here but as a former small businessman I know that hardworking small businessmen and women across our nation create jobs for American families, not politicians," Long said. "Small businesses are critical to creating opportunities for our nation."
The Small Business Tax Cut of 2012 will give small businesses with fewer than 500 employees a tax deduction of 20 percent of their income, which will free up critical funds for small businesses to grow and hire new employees. Currently, cash-strapped small businesses face federal tax rates as high as 35 percent. It is estimated that 22 million small businesses will benefit from this tax cut. Small business is responsible for 60 percent of new job creation in America.
Small businesses are critical to job growth in Missouri. According to the Small Business Administration, as of 2009 there were 115,688 small businesses in Missouri with between one and 500 employees employing 1,135,600 individuals. From 2005 to 2008, small business created a net total of 35,106 new jobs in Missouri, but from 2008 to 2009 a net total of 62,072 small business jobs were lost.