U.S. Representative Eric Swalwell (CA-15) today announced that U.S. Representative Chris Collins (R-NY) will be the lead Republican co-sponsor of H.R. 952, the Main Street Revival Act. The bill, introduced by Swalwell in March, aims to speed up local economic development and energize small businesses to open their doors in economically-depressed neighborhoods by relieving them of some start-up costs.
H.R. 952 allows certain small businesses to elect to defer paying payroll taxes during their first year in operation. The deferred taxes would then be paid in installments over the subsequent four years. The option is limited to businesses expecting to hire no more than 25 people in their first year, and located in Historically Underutilized Business Zones, known as HUBZones, as identified by the Small Business Administration.
"Good ideas that help our small businesses know no political party," said Swalwell. "I welcome Rep. Collins of New York as the lead Republican cosponsor of the Main Street Revival Act. This bill was inspired by walking the Main Streets of my district and talking with business owners -- Republicans and Democrats -- about ways the federal government can help them get off the ground, hire employees and succeed. This is sensible legislation to speed up local economic development in the neighborhoods that need it most."
"If Washington is serious about getting our economy back on track, we need to get serious about supporting American small business," said Rep. Collins. "Encouraging and incentivizing new small businesses, particularly in struggling areas, will be critical to rebuilding our economy. The ability to defer payroll taxes for one year may be just enough of a break to help a new small business owner hire one more person or purchase a new piece of equipment. This legislation represents the practical, commonsense solutions Washington needs to take to nurture small business development, create jobs, and spur real economic development in our communities."