President Obama Announces New Proposal to Create Jobs, Cut Taxes for Small Businesses

THE WHITE HOUSE

Office of the Press Secretary

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In Baltimore, President outlines details of the Small Business Jobs and Wages Tax Cut will

WASHINGTON, DC – At the Chesapeake Machine Company in Baltimore, Maryland, President Obama announced details of the Small Business Jobs and Wages Tax Cut, one of his new proposals to create good jobs and bring relief to small businesses.

The Small Business Jobs and Wages Tax Cut will put more Americans back to work by giving businesses – particularly small business – a tax cut for new hiring. The new proposal will also provide tax incentives for businesses to expand wages for their employees.

President Obama said, “Today, I am proposing what I believe is the best way to promote hiring by small businesses: through a tax credit for companies that add workers and increase salaries this year. Now is the perfect time for this kind of incentive. The economy is growing, but job growth is lagging. This is only one part of our larger jobs package, but it will be a key element to spur hiring and give all small businesses that participate significant tax relief.”

Treasury Secretary Geithner said, “America's small businesses are critical engines of job growth. But to play that role, they need some help. They need better access to credit from banks and tax relief from the government. This announcement provides such relief, giving small businesses incentives to put Americans back to work and increase the salaries of those currently working."

Small Business Administrator Karen Mills said, “We know that if we give small businesses the tools they need, they will create the jobs America needs. This tax cut is one of those tools, and along with the other tax incentives and plans for increasing small business lending the President has called for, it will help small businesses across this country take that next step to expand and create new jobs in their local communities.”

Small business leaders and leading CEOs join The Congressional Budget Office and independent economists in highlighting how the Small Business Jobs and Wages Tax cut will help put more people back to work and provide real relief for America’s small businesses.