“We think a key benefit of the plan is the proposal to accelerate and make permanent the scheduled cuts in the federal income tax,” said Gary Woodbury, president and CEO of SBAM.
“It will put more money in the pockets of Michigan entrepreneurs and be a significant stimulus for job growth and investment.”
Woodbury also praised the President’s proposal that small businesses would be allowed to increase the amount of equipment purchases they can write off for tax purposes to $75,000 from $25,000.
“Last fall in our Small Business Barometer survey, only 12 percent of small business owners reported that they planned to increase capital investment in the next quarter,” said Woodbury. “Boosting the write-off for equipment purchases would be a welcome investment incentive.”
Statistics from the U.S. Small Business Administration show that in the past two decades it was small businesses that generated nearly all of the economy’s new jobs, according to Woodbury.
“Anything we can do that boosts the small business sector will create significant benefits to the entire Michigan economy.”