Daily Tax Update - February 8, 2010

SENATE DELAYS UNVEILING JOBS BILL:  Due to the heavy snowfall in the Washington area, Congress is not in session today. It is unclear when the Senate jobs bill will be released. A spokesman for Senate Majority Leader Harry Reid said, “We do still hope to consider jobs legislation” this week. The jobs bill could contain small-business tax breaks, Build America Bonds language, unemployment insurance and COBRA health insurance language, and an extension of the highway bill, as well as the tax extenders.

  • Meanwhile, President Obama used his weekly radio address to promote small businesses. The President said that “America’s small businesses are key to rebuilding the economy on a new, stronger foundation and creating jobs.” The President called on Congress to pass a series of proposals that will help American small businesses. These proposals include using $30 billion in TARP funds to create a new Small Business Lending Fund to provide capital to community banks to increase lending to small businesses, offering a new tax credit for over one million small businesses that hire new workers or raise wages, and providing "targeted support for the most innovative small businesses with the potential to export new goods and products.” The President said, “To give these companies greater incentives to grow and create jobs, I’ve proposed a new tax credit for more than one million small businesses that hire new workers or raise wages, as well as the elimination of all capital gains taxes on small business investment.”

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