Capitol Report: Cutting Taxes and Creating Jobs
This week, the United States House of Representatives passed the “Jobs for America Act” to grow our economy and put Americans back to work. This package of bills included proposals to provide our farmers and small business owners with needed tax relief, and reduce unnecessary regulations.
For the 2014 tax year, unless the “Jobs for America Act” or something like it passes, the amount of equipment that farmers and small businesses can expense like tractors, heavy machinery, or computer software, will be reduced by ninety-five percent.
Section 179 of the tax code – the section that provides for the equipment deduction – expired on January first of this year. Unless it is renewed for 2014, folks will only be able to expense five percent as much of the equipment on their farm, or in their business, that they were able to expense in 2013. Small businesses and farmers will make up for this difference by buying less equipment, and hiring less help.
To fix this problem, and to prevent folks from having to make difficult decisions about how they are going to pay higher tax bills, I have co-sponsored legislation, and the House has now passed it twice, to make the full expensing allowance permanent. Providing small businesses and farmers with this kind of tax relief will help them to grow our economy and create jobs.
In addition to our tax burden, I often hear that rules and regulations are the biggest obstacle to growing our economy. The “Jobs for America Act” includes several pieces of legislation that I have co-sponsored and worked on in committee to prevent new harmful regulations. The act would prevent expensive rules and regulations from being created without a vote of Congress. It would also help small businesses and farmers grow and expand by preventing agencies from developing new rules and regulations in closed-door court settlements.
The House continues to work on legislation like the “Jobs for America Act” to grow our economy while the Senate sits on its hands. There are now over 40 jobs bills that have been passed by the House that the Senate refuses to even take up. Americans want to work, why doesn’t the Senate?