Rep. Loretta Sanchez – Working to Strengthen Orange County Small Businesses

Rep. Loretta Sanchez - Supporting Orange County Small Business

WASHINGTON, D.C. – Congresswoman Loretta Sanchez (CA-47) voted on Wednesday to create jobs and encourage economic growth by investing in the backbone of America’s economy: small businesses. H.R. 4849, the Small Business and Infrastructure Jobs Tax Act, would provide crucial tax cuts for small business investors, increase the deduction for business start-up expenditures, and finally end a tax penalty that has had a disproportionate impact on small firms.

“Our economic recovery will be largely dependent on smart investments in America’s small businesses,” said Rep. Sanchez. “This bill will help local entrepreneurs start, build, and grow their businesses and, in the process, strengthen Orange County’s economy. It’s a surefire way to create new jobs and new opportunities here at home.”

In order to spur investment in small businesses, the Small Business and Infrastructure Jobs Tax Act would increase the capital gains tax cut for those who invest in small firms in 2010. Specifically, the bill would exclude 100% of capital gain income for stock in small business purchased from March 15, 2010 through January 1, 2011, thereby infusing small firms with the capital they need to grow and hire more workers.

To encourage more individuals to start their own businesses, the bill would allow entrepreneurs to deduct up to $20,000 in start-up expenditures (excluding capital and equipment) and expand the number of businesses eligible for this deduction. It would also make tax penalties for businesses that fail to disclose reportable transactions proportionate to the tax savings created by the omission. In the past, some businesses were assessed tax penalties as high as $300,000 per year for receiving a tax benefit as little as $15,000 from an unreported transaction.

In addition to its provisions for small businesses, the Small Business and Infrastructure Jobs Tax Act would extend the highly-successful Build America Bonds (BABs) program to make it cheaper for state and local governments to finance the rebuilding of schools, sewers, hospitals, and transit projects. It would also extend the TANF Emergency Fund that states like California are using to subsidize employers who hire unemployed workers. California has already received over $415 million through the Recovery Act TANF Emergency Fund. This Fund is currently on track to put over 160,000 Americans back to work, many of them right here in California.

  6 comments for “Rep. Loretta Sanchez – Working to Strengthen Orange County Small Businesses

  1. Robert Lauten
    March 25, 2010 at 9:08 pm

    Please visit download and sign the “California Jobs Initiative”.

    Sacramento politicians passed AB32 and caused:

    Over 1.1 million lost jobs (Sacramento State University Economist)
    Up to 60 percent higher retail electrical rates (Southern California Public Power Authority)
    8 percent increase in natural gas costs (CARB).
    $3.7 billion in higher gasoline and diesel costs (Sierra Research).
    Possible $143 billion cap and trade auction to offset AB 32’s higher energy prices and job losses (CARB Economic Allocation and Advisory Committee).

  2. Robert Lauten
    March 25, 2010 at 10:01 pm

    Rep. Loretta Sanchez and H.R. 4849, – much to do about nothing.

    The Joint Committee on Taxation (JCT) estimates that enacting H.R. 4849 will result in a $82 MILLION reduction in deficits.

    Congress is a joke, a very bad joke.
    enter H.R. 4849
    click “CBO Cost Estimates” at lower left

  3. Slatemag
    March 26, 2010 at 6:06 am

    When did Loretta become a champion for small business owners? Overnight? Please spare us another gimmick. How many bill(s) did she actually author in the last 13 years? Uno, one single bill. How many bill(s) did she read completely to understand? None, nada.

  4. Slatemag
    March 26, 2010 at 10:38 am

    The jobless rate in California stands at 12.5%. So how many jobs did Loretta create or save? Can it be counted in two hands or only one hand?

  5. junior
    March 26, 2010 at 3:53 pm

    Why is Loretta not wearing safety glasses?

    Call OSHA!

  6. Frank
    March 29, 2010 at 6:01 pm

    Loretta has not done anything for our community in 13 years. She only represents her self. Look at her donation list and you’ll see what I mean.

Comments are closed.