Small Business Tax Relief Act of 2007
February 13, 2007
TO THE MEMBERS OF THE U.S. HOUSE OF REPRESENTATIVES:
The U.S. Chamber of Commerce, the world's largest business federation representing more than three million businesses and organizations of every size, sector, and region, urges you to support H.R. 976, the "Small Business Tax Relief Act of 2007." This legislation provides tax relief to assist small businesses' job growth.
H.R. 976 would allow small businesses to more easily afford large capital expenses by extending and increasing section 179 small business expensing. It would extend and enhance the Work Opportunity Tax Credit, which provides incentives to employers to hire individuals from targeted groups that frequently experience barriers to work, and it would enhance the tip credit.
The business community also appreciates the restraint exercised in omitting onerous permanent tax increases from the package, such as restrictions on deferred compensation and prohibitions on deduction of liabilities incurred in settlements. Imposing limitations on nonqualified deferred compensation interferes unnecessarily in the management labor market. The denial of deductions for settlements and punitive damages would discourage the out-ofcourt settlement of legal cases and would increase the burden on the judicial system. These provisions run counter to the goal of promoting economic growth and job creation.
The Chamber urges you to vote in favor of H.R. 976, the "Small Business Tax Relief Act of 2007." The Chamber may consider votes on, or in relation to, this issue in our annual How They Voted scorecard.
R. Bruce Josten