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WASHINGTON, D.C. – U.S. Rep. Blake Moore (R-UT) has introduced legislation to boost small business growth into the U.S. House of Representatives.
The Small Business Growth Act, Moore says, will support small business by helping their owners secure equipment necessary to build their operations and bolster their workforces.
Specifically, Moore’s proposal would double the current tax deduction for equipment purchases from $1 million to $2 million.
“The Small Business Growth Act reaffirms our belief in the power of small businesses,” Moore explains. “By raising the cap on tax deductions for business investments … we are setting the stage to supercharge innovation, job creation and sustainable growth for our small businesses.”
Section 179 of the Internal Revenue Code allows small businesses to deduct the full purchase price of qualifying equipment, according to Moore’s staff in Washington.
Under the 2017 Tax Cuts and Jobs Act, the deduction cap for those investments was lifted to $1 million from $500,000, which helped small business get the equipment they needed to expand their operations.
The Small Business Growth Act will build on this success, Moore says, by lifting the deduction cap to $2 million with a phase-out threshold of $3.5 million.
Moore’s proposal will reduce tax bills for business owners who are working hard to purchase equipment — including farming equipment, office furniture, manufacturing tools, machinery, commercial vehicles and more.
The increased tax deduction will also allow more funds to be allocated to employee salaries, materials and other critical business expenditures.
In an increasingly competitive global marketplace, the congressman adds, this legislation seeks to boost innovation, workforce development and economic growth.
As usual, Moore has recruited a collection of like-minded House colleagues to support the Small Business Growth Act.
They include Representatives Adrian Smith (R-NE), Mike Kelly (R-PA), Drew Ferguson (R-GA), David Kustoff (R-TN), Brian Fitzpatrick (R-PA), Claudia Tenney (R-NY), Michelle Fischbach (R-MN), Michelle Steel (R-CA), and Randy Feenstra (R-IA).
Moore’s proposal is also supported by more than 30 business advocacy groups throughout Utah and the nation.
Moore adds that his Small Business Growth Act will keep American small businesses competitive and thriving in an ever-evolving and competitive global market.