Anita Grove, Executive Director for the Apalachicola Bay Chamber of Commerce, gave city commissioners an economic update at their April 7, meeting.
Grove reported that the Internal Revenue Service (IRS) plans are to issue a series of new rules for temporary tax breaks for small businesses.
Once adopted the rules would mean that small businesses earning up to $15 million can claim losses for the past five years in the current tax year.
Further, businesses may write off up to $250,000, in investments this year and can reduce estimated tax payments to 90 percent of the previous year’s filling.
Under the new rule, the IRS will allow small businesses to take larger depreciation deductions within the first year of property purchases and the businesses will see 75 percent capital gains excluded for those who invest in small businesses.
According to Grove, the package also includes $730 million to reduce small-business lending fees and to increase the government guarantee on Small Business Administration (SBA) loans. She further reported that the government is also taking aggressive steps to boost bank liquidity with up to $15 billion aimed at unfreezing the secondary credit market.
She went to say that locally Monica Lemieux, with Apalachicola State Bank, has been working to get details on the loan program and that the SBA will guarantee the loans 100 percent with a payment plan that can defer payments until next year.
As of yet, no loan application has been drafted, but plans are to hold a meeting at 5:00PM on April 16, at city hall to discuss the loan program in detail.
Grove reported that the Internal Revenue Service (IRS) plans are to issue a series of new rules for temporary tax breaks for small businesses.
Once adopted the rules would mean that small businesses earning up to $15 million can claim losses for the past five years in the current tax year.
Further, businesses may write off up to $250,000, in investments this year and can reduce estimated tax payments to 90 percent of the previous year’s filling.
Under the new rule, the IRS will allow small businesses to take larger depreciation deductions within the first year of property purchases and the businesses will see 75 percent capital gains excluded for those who invest in small businesses.
According to Grove, the package also includes $730 million to reduce small-business lending fees and to increase the government guarantee on Small Business Administration (SBA) loans. She further reported that the government is also taking aggressive steps to boost bank liquidity with up to $15 billion aimed at unfreezing the secondary credit market.
She went to say that locally Monica Lemieux, with Apalachicola State Bank, has been working to get details on the loan program and that the SBA will guarantee the loans 100 percent with a payment plan that can defer payments until next year.
As of yet, no loan application has been drafted, but plans are to hold a meeting at 5:00PM on April 16, at city hall to discuss the loan program in detail.
No comments:
Post a Comment