N.C. Sen. Kay Hagan said Wednesday a bill offering tax incentives that would help small businesses will boost North Carolina’s economy.
Hagan said lawmakers will debate the Small Business Jobs and Tax Relief Act this week. Small businesses would get a 10 percent income tax benefit on new payroll, which they can achieve by hiring new workers or increasing the wages of existing workers, Hagan said.
“The vast majority of jobs would be created through small businesses,” Hagan said in a conference call with reporters.
“This is a big deal in North Carolina. In our state, small businesses are the engine for economic growth.”
Businesses also would be able to claim a 100 percent depreciation deduction on major purchases made that same year. That lowers the cost of investing in products, from new computer software to manufacturing equipment, Hagan said.
Hagan wouldn’t predict the bill’s chances of passage, but said she hopes the bill gets bipartisan support.
“Anything that we can do to use one more tool out of our toolkit to help our economy, we should put partisan politics and gamesmanship aside…We’ve got too many people out of work.”