Merkley recently introduced into Congress the Small Business Jump Start Act, designed to support small business owners by cutting taxes for the start-up costs of small businesses.
Presently, new businesses are eligible for a $5,000 tax deduction if they spend $50,000 or more on start-up costs. The new legislation proposed by Merkley and co-sponsored by Sen. Lamar Alexander (R-Tenn.) would not only boost the deduction to $10,000, it would also expand eligibility to companies that spend up to $60,000 on getting started.
Says the senator: “One of the best ways we can encourage job growth is to help small businesses through their first year. For the majority of small business owners, the first year is the toughest. New entrepreneurs must hire employees, attract clients, start up administrative systems, and find a suitable facility. By doubling the [tax] deduction for start-up costs, this new legislation will encourage the job growth that will get our economy moving again.”
The Small Business Jump Start Act has support from the United States Chamber of Commerce, the National Federation of Independent Businesses (NFIB), and the National Association for the Self-Employed (NASE).