Congresswoman Hirono Votes to Support Hawaii's Small Business Efforts to Expand and Create Jobs

Press Release

Congresswoman Hirono Votes to Support Hawaii's Small Business Efforts to Expand and Create Jobs

Following numerous visits with owners of small businesses in Hawaii in recent weeks, Congresswoman Mazie K. Hirono (D-Hawaii) today reaffirmed her strong support of small businesses in Hawaii and across the country by voting in favor of H.R. 5297, the Small Business Jobs and Credit Act.

The comprehensive legislation increases lending to millions of small businesses while offering $12 billion in tax incentives to companies to help them expand their businesses, hire new workers, and fuel our economy.

"Small business owners in Hawaii want to grow their companies but have voiced their frustration with me about their inability to get the needed financing," said Congresswoman Hirono. "This bill will unlock credit and provide tax breaks to these small companies, which will in turn help them expand and hire locally."

Specifically, the legislation:
* Creates a lending fund through which up to $30 billion in investments could be made to financial institutions to increase lending to small businesses.
* Invests $1.5 billion in grants for a state small business credit initiative.
* Expands access to and lowers costs for small business to access Small Business Administration (SBA) loans; increases SBA loan limits.
* Doubles small business expensing for immediate write offs of capital investments in 2010 and 2011. Expands purchases qualifying for expensing to include certain types of real property, such as leasehold, retail, and restaurant improvements.
* Allows businesses to write off half of the cost of new equipment investments in 2010.
* Allows 100 percent of the capital gains from certain small business stock to be excluded from taxation.
* Reduces small business taxes by allowing them to carry back general business tax credits to offset their taxes from the previous five years. Small businesses can count the general business credits against the Alternative Minimum Tax.
* Doubles to $10,000 the tax deduction for start-up expenditures.
* Allows participants in certain tax-deferred retirement plans to roll their balances into Roth retirement accounts.
* Creates a new State Export Promotion Grant Program (STEP), which will leverage over $1 billion in exports.

The U.S. House originally passed the bill on June 17th. The Senate passed an amended version of the bill and sent it back to the House for a vote. H.R. 5297 passed the House today by a vote of 237 yeas to 187 nays. It now goes to the White House for President Obama's signature.

The Small Business Jobs Act also takes another step toward ending job outsourcing by ending tax incentives for companies that ship jobs overseas. The bill is fully paid for and will not add to the national deficit.

Congresswoman Mazie K. Hirono represents Hawaii's 2nd Congressional District in the U.S. House of Representatives, which includes rural Oahu and the Neighbor Islands: Kahoolawe, Kauai, Lanai, Maui, Molokai, Niihau, Hawaii Island and the Northwestern Hawaiian Islands.

Source