William Orton: “I rise in support of H.R. 3448, the Small Business Job Protection Act. This bill contains a number of provisions that I…”

“I rise in support of H.R. 3448, the Small Business Job Protection Act. This bill contains a number of provisions that I have long supported, and which encourage the creation and growth of small businesses. First, the bill increases the amount a small business can deduct for the purchase of business-related equipment from $17,500 to $25,000. The bill also includes a number of provisions which make it easier for small businesses to receive S corporation classification, the most notable being an increase in the maximum number of shareholders from 35 to 75. This important change makes it easier for many small businesses to maintain a simplified corporate structure, without being subject to double taxation. This legislation includes important pension simplification provisions for small businesses, including a simplified retirement plan, called a savings incentive match plan. For restaurants, this bill expands a 1993 law which gives restaurants a credit for the Federal payroll taxes paid on tips earned by their employees. Specifically, the bill would now expand the credit to include unreported tips, and would expand restaurant eligibility to include carryouts. Finally, the bill extends a number of expiring provisions, including a revised targeted jobs tax credit and section 127, the exemption for employer-provided educational assistance. I am concerned that section 127 renewal is limited to undergraduate education.”