First Posted: 7/22/2009 1:21:20 PM | Last Updated: 7/27/2009 3:34:45 PM
More Help for Homeowners and Small Businesses
Roger W. Ach, II
Now that the Banking, Insurance and Auto crises are past, it is time to put our efforts where they will really do some good. Here is a meaningful, targeted tax reduction which will draw bi-partisan support !
Congress should immediately pass legislation to re-enact the 7% Investment Tax Credit for Small Businesses who invest in a wide variety of capital expenditures for machinery, tools and transportation. Small Businesses have created the vast majority of all U.S. jobs over the past 25 years.
Also, Congress should enlarge the current $8000 first time homebuyer credit to include all homebuyers and to enlarge the Tax Credit to 7% of the purchase price, to a maximum of $15,000. That will encourage buyers, increase household cash flow and stimulate both housing and the consumer economy. The National Association of Realtors has supported the $15,000 Tax Credit.
Both these Tax Credits should have a 3 year “sunset provison” ending in 2012. Costs to the Treasury will be offset by higher levels of economic activity, employment and spending.
Roger Ach is a Cincinnati Entrepreneur who serves as the Managing Member of Chicago West Pullman, llc, a Cincinnati-based investment company.