For Immediate Release
Jack Mozloom, 202-406-4450 or 609-462-5610 (cell)
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Follow Jack on Twitter @JackMozNFIB
McConnell and several
key senators urge bipartisan support tomorrow for Section 179 small business
expensing provision
Washington D.C.
(December 17, 2015)
– Dan Danner, President
and CEO of the National
Federation of Independent Business (NFIB) today joined Senate Majority Leader Mitch McConnell
(Kentucky), Wisconsin Senator Ron Johnson and Maine Senator Susan Collins
at a press conference aimed at boosting support for the tax extenders package
that would make permanent one of the most important provisions in the tax code
for small businesses.
The package, scheduled for a
vote in the Senate tomorrow, includes a provision that would make small
business expensing a permanent feature of the tax code. Known as Section
179, it allows small businesses to deduct from their annual tax obligation up
to $500,000 for the cost of new equipment, machinery, technology and other
capital upgrades.
“Voting to make 179 permanent
is one of the most crucial actions Congress can take in 2015 to help small
business,” said NFIB CEO
and President Dan Danner. “It’s a tax benefit that encourages
small businesses to invest in their own growth, which every member of the
Senate would agree the country needs.
“Making that provision
permanent has been our top priority for years and we’re very grateful to
Majority Leader McConnell, Senator Johnson and Senator Collins for their strong
support.”
Majority Leader McConnell feels
that small businesses need tax relief, like making Section 179 permanent, in
order to thrive and grow the economy.
“Small businesses, the
life-blood of America’s economy, need certainty to plan, invest, compete and
grow,” said Senate
Majority Leader Mitch McConnell. “After years of
short-term fixes, we’ve come together to end that cycle of uncertainty by
making critical small business tax relief like Section 179 expensing permanent
– a key to helping get our economy moving again.”
Senator Johnson is in favor of
small business expensing permanency because certainty for small businesses in
Wisconsin and across the country is crucial for economic success.
“Making Section 179 expensing
permanent increases small business certainty and cash flow,” Senator Ron Johnson
said. “The level of uncertainty businesses in Wisconsin and across the
country face right now is an enormous drag on our economy. It costs the economy
jobs and overall growth. This provision increases cash flow and reduces
borrowing, prompting businesses to invest in the kind of capital equipment that
expands manufacturing and building. It will help develop a stronger economy and
provide good paying jobs for Wisconsinites.”
Senator Collins voiced her
support for the package because she has heard small business owners not only
from Maine, but from across the country express their need for certainty in our
tax code.
“Small businesses create the
majority of our nation’s jobs. According to the Bureau of Labor
Statistics, small businesses generated 63 percent of the net new jobs that were
created between 1993 and 2013,” said Senator Susan Collins. “Small
business owners across Maine and throughout our country tell me repeatedly that
the constant change and uncertainty in our tax code have hindered their ability
to invest and create new, good-paying jobs. I am so pleased that these three
critically important tax incentives have been included in the tax-relief bill.
They will provide the incentives and the certainty required for our small
businesses to successfully create jobs and grow our economy.”
According to the NFIB
Research Foundation, permanent small business expensing
would increase economic output by almost $19 billion and create nearly 200,000
jobs over the next 10 years. NFIB members sent more than 10,000 letters
and emails to their respective members of Congress in the past week urging them
to support the measure.
According to Danner, tomorrow’s
vote in the Senate will be a test for every member who claims to support small
business.
“The status quo, which requires
small businesses to wait until the end of every year to see if Congress will
extend 179 and then scramble to make big financial decisions in a few days, is
no longer acceptable. Every member of Congress who supports small
business needs to understand that this is real, lasting tax relief the most
important part of the economy.”
