As I traveled along Route 58 recently, touring a variety of manufacturing companies, I talked with small business owners and working Virginians about the biggest issues for success in their businesses. Route 58 is one of the two main arteries of Virginia’s Fifth District, and has a proud history of manufacturing as it connects Southside Virginia directly to the Port of Virginia, making it a strategic area for manufacturers to locate their businesses. Unfortunately, many communities along Route 58 continue to experience significantly higher unemployment than other areas of Virginia.
As I have heard so many times before, the Fifth District Virginians I spoke with told me about their grave concerns regarding unemployment and the need for policies that help Main Street, small businesses, family farms, and Virginia’s working families by reducing unnecessarily burdensome regulations, and making it easier to do business.
Among the significant concerns impacting Fifth District businesses and their ability to invest in their communities is Washington’s complex and outdated tax code, which continues to stifle small businesses’ ability to grow their operations and create jobs. In the House, we remain committed to reforming the outdated corporate tax code, which has the unfortunate distinction of being among the highest rates in the world.
As part of the bipartisan Jobs for America Act, the House also recently passed America’s Small Business Tax Relief Act to ensure that our small businesses have the certainty they need to grow their businesses. This legislation would make permanent a tax provision that allows small businesses to expense certain investments in new equipment and property each year. By permanently allowing these small businesses to deduct up front the costs of purchasing new equipment and property expenses each year, we are strengthening our economy by making it easier for them to invest back into their businesses. This also relieves these vital job creators from some of their tax compliance costs, which are 65% higher than those of big businesses.
America’s Small Business Tax Relief Act is a vital step forward, but it is just a small part of what we need to do to reform our reform to free our Main Street businesses from government-created obstacles to economic growth. I look forward to continuing to work with my colleagues to foster the success of our small businesses so that they can create jobs and generate opportunity and prosperity for our communities.
If you need any additional information, please visit my website at hurt.house.gov or call my Washington office: (202) 225-4711, Charlottesville office: (434) 973-9631, Danville office: (434) 791-2596, or Farmville office: (434) 395-0120.