Kamala Harris Proposes $50K Small Business Tax Deduction
Kamala Harris Proposes $50K Small Business Tax PlanDeduction
The Facts
Democratic presidential nominee Kamala Harris Wednesday proposed to expand the small business tax credit tenfold to $50K to help revive the segment across the US.Democratic presidential nominee Kamala Harris proposed on Wednesday that the small business tax credit be expanded tenfold to $50K, reportedly to encourage entrepreneurship in the US.
Speaking in New Hampshire, Harris proposed to let small businesses allocate the deductions over many years or to claim the $50K deduction on turning profitable.Speaking in New Hampshire, Harris proposed letting new small businesses allocate the tax deduction over many years or claim the $50K cut when they become profitable.
The Spin
Kamala Harris faces a tough challenge in winning over small- business owners, who currently lean toward supporting another Trump administration. To that extent, her championing of tax breaks directly benefiting small businesses is a bold move. So is her promise to cut red tape. By addressing these concerns, Harris can appeal to small-businessentrepreneurs owners who feel overlooked.
Kamala Harris's promised tax plan for small businesses comes inagainst the backdrop of her other proposal --— to hike corporate tax, which could have significant negative effects on small businesses, too, besides the broader economy. Small businesses that rely on larger corporations could be badly hit. In contrast, Trump's proposed tax relief could boost earnings, making Harris's plan appear detrimental.