We have received around 500 responses to our survey and it appears the small business community of California is more optimistic than the results we received last year. It also appears more of you will be hiring in 2011.
The one question I would really like to get your thoughts on is the Internet tax.
42% support it and 49% oppose.
Quite frankly I don’t understand this. Under current law when you buy from a store located in California the seller collects the sales tax. When you buy over the Internet the seller collects the tax if they have a location in California but if they have no location the buyer is required to pay a use tax equal to the sales tax.
Now I fully understand most business people don’t report the goods they have bought over the Internet but they are breaking the law and the Board of Equalization is getting very aggressive going after businesses not reporting and assessing penalties and interest.
My company CAL Insurance received a letter from BOE and we spent hours going over our receipts for 3 years.
We did find a couple of items in our thousands of receipts where we had inadvertently not reported the purchase. The amount owed was about $600 and we paid penalties and interest of about $500. I would have much preferred that I be charged at the front end saving me the interest and penalties but more importantly the time in going over our records.
Could the people that were against the Internet tax please explain why?
Thank you to all that have completed the survey. If you haven’t please take about 7 minutes to do so.
Please see link below.
http://www.zoomerang.com/Survey/WEB22BQSFBGKKD/
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
Monday, January 31, 2011
Thursday, January 27, 2011
SBA Under Fire
It appears the SBA is going to face some troubled times in the future from both the Senate and the House.
See statement by Senators Snowe and Landrieu. Then click on the link and see what the Chair of the House Small Business Committee says his Committee will be doing.
Chairman Graves thoughts as presented in the article:
”The Small Business Administration can expect to undergo in-depth, strategic review of its operations along with potential deep cuts throughout during the next two years according to Rep Sam Graves, the new Chairman of the House Small Business Committee.”
After years of cuts by the Bush Administration President Obama has put forth some modest increases in the budget. It appears the days of cuts may be returning.
I will be the first to say the SBA isn’t perfect but in the overall budget the SBA is next to nothing and the SBA has really done some good things with the passage of the Small Business Jobs bill.
Comments?
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
TradingMarket.com
Landrieu, Snowe Seek Recommendations from SBA to Eliminate Programs
Posted on: Wed, 26 Jan 2011 12:05:16 EST
Symbols: SBCOD
Jan 26, 2011 (Congressional Documents and Publications/ContentWorks via COMTEX) --
WASHINGTON - United States Senators Mary L. Landrieu, D-La. and Olympia J. Snowe, R-Maine, Chair and Ranking Member of the Senate Committee on Small Business and Entrepreneurship, today sent letters to Small Business Administration (SBA) Administrator Karen Mills and Inspector General Peg Gustafson requesting recommendations for programs within the SBA that could be eliminated or substantially reduced, without undermining the agency's ability to serve the needs of small business owners.
Senators Landrieu and Snowe said in the letters, "As the new Congress convenes, the Committee on Small Business and Entrepreneurship will begin the session by examining and assessing the need, efficiency and effectiveness of programs within the Small Business Administration.
"Like the American people, Congress must continue to evaluate and determine what spending is necessary to meet current needs and demands while identifying and eliminating needless spending. Accordingly, we take this responsibility seriously and will dedicate time and effort in this Congress to determine the best path forward."
With the elimination of duplicative, ineffective, or redundant programs, Senators Landrieu and Snowe have committed to undertake a careful examination of ways to improve small business programs within the SBA and across Federal agencies.
The Senate Committee on Small Business and Entrepreneurship will hold a hearing to help move forward with this effort and requested that the Administrator provide the recommendations no later than February 10, 2011.
This in the House
http://fcw.com/articles/2011/01/24/house-small-business-committee-hot-topics-2011.aspx
See statement by Senators Snowe and Landrieu. Then click on the link and see what the Chair of the House Small Business Committee says his Committee will be doing.
Chairman Graves thoughts as presented in the article:
”The Small Business Administration can expect to undergo in-depth, strategic review of its operations along with potential deep cuts throughout during the next two years according to Rep Sam Graves, the new Chairman of the House Small Business Committee.”
After years of cuts by the Bush Administration President Obama has put forth some modest increases in the budget. It appears the days of cuts may be returning.
I will be the first to say the SBA isn’t perfect but in the overall budget the SBA is next to nothing and the SBA has really done some good things with the passage of the Small Business Jobs bill.
Comments?
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
TradingMarket.com
Landrieu, Snowe Seek Recommendations from SBA to Eliminate Programs
Posted on: Wed, 26 Jan 2011 12:05:16 EST
Symbols: SBCOD
Jan 26, 2011 (Congressional Documents and Publications/ContentWorks via COMTEX) --
WASHINGTON - United States Senators Mary L. Landrieu, D-La. and Olympia J. Snowe, R-Maine, Chair and Ranking Member of the Senate Committee on Small Business and Entrepreneurship, today sent letters to Small Business Administration (SBA) Administrator Karen Mills and Inspector General Peg Gustafson requesting recommendations for programs within the SBA that could be eliminated or substantially reduced, without undermining the agency's ability to serve the needs of small business owners.
Senators Landrieu and Snowe said in the letters, "As the new Congress convenes, the Committee on Small Business and Entrepreneurship will begin the session by examining and assessing the need, efficiency and effectiveness of programs within the Small Business Administration.
"Like the American people, Congress must continue to evaluate and determine what spending is necessary to meet current needs and demands while identifying and eliminating needless spending. Accordingly, we take this responsibility seriously and will dedicate time and effort in this Congress to determine the best path forward."
With the elimination of duplicative, ineffective, or redundant programs, Senators Landrieu and Snowe have committed to undertake a careful examination of ways to improve small business programs within the SBA and across Federal agencies.
The Senate Committee on Small Business and Entrepreneurship will hold a hearing to help move forward with this effort and requested that the Administrator provide the recommendations no later than February 10, 2011.
This in the House
http://fcw.com/articles/2011/01/24/house-small-business-committee-hot-topics-2011.aspx
Wednesday, January 26, 2011
1099 requirement/2011 SB California Survey
I just received word that Senators Baucus and Reid will be introducing legislation repealing the 1099 requirement in the Health bill.
I talked to Senator Baucus' office and was told they have not determined how they will handle the $19 million offset. As you will recall it was estimated the requirement would raise $17 to $19 billion over a 10 year period.
Congressman Lungren has introduced HR 4 which has no offset. This will easily pass the House as it has about 255 cosponsors.
It was good to hear the President mention last night in his State of the Union message he supports repeal.
The responses to our survey have been very slow. This is vitally important as this survey will set our agenda for 2011.
The results will also be sent to every legislator in the state, all House members, our Senators and the Governor.
It takes between 6 to 10 minutes
the link for the survey is here:
http://www.zoomerang.com/Survey/WEB22BQSFBGKKD/
Here is the final press release:
January 19, 2011
Small Business California Asks For Input With Its 7th Annual Small Business Survey
For the seventh year running, Small Business California is surveying small businesses on their concerns and issues to help guide its efforts
San Francisco- Today, Small Business California (SB-Cal) asked for small businesses to respond its yearly survey, which it sends to the Governor and every state legislator. The survey can be found on-line at http://smallbusinesscalifornia.org/.
According to Small Business California president and founder Scott Hauge, “This survey is used by SB-Cal to guide its advocacy efforts and it is influential in expressing the problems faced by small business to opinion makers. An example is that the cost of providing health care was the most important issue to small business owners last year.” Scott Hauge went on to say. “The Governor and legislators are now addressing this issue that is of vital concern to small business owners.”
In addition to the current small business survey, results of past surveys may be found on SB-Cal’s website.
Small Business California represents the interests of small businesses in California. Its Board of Directors are leading advocates for small businesses and represent thousands of small businesses in every part of the state. More information regarding Small Business California can be found at http://smallbusinesscalifornia.org/.
And finally words cannot express my gratitude for all of my extended family[ all of you] that sent emails to me about my brother’s death. Your support is a blessing to me and my family and I can’t think of a better gift during these difficult times. At last count I had around 300 responses and last night I gave a copy of all of these to my mom. I will also be providing my sister in law a copy
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
I talked to Senator Baucus' office and was told they have not determined how they will handle the $19 million offset. As you will recall it was estimated the requirement would raise $17 to $19 billion over a 10 year period.
Congressman Lungren has introduced HR 4 which has no offset. This will easily pass the House as it has about 255 cosponsors.
It was good to hear the President mention last night in his State of the Union message he supports repeal.
The responses to our survey have been very slow. This is vitally important as this survey will set our agenda for 2011.
The results will also be sent to every legislator in the state, all House members, our Senators and the Governor.
It takes between 6 to 10 minutes
the link for the survey is here:
http://www.zoomerang.com/Survey/WEB22BQSFBGKKD/
Here is the final press release:
January 19, 2011
Small Business California Asks For Input With Its 7th Annual Small Business Survey
For the seventh year running, Small Business California is surveying small businesses on their concerns and issues to help guide its efforts
San Francisco- Today, Small Business California (SB-Cal) asked for small businesses to respond its yearly survey, which it sends to the Governor and every state legislator. The survey can be found on-line at http://smallbusinesscalifornia.org/.
According to Small Business California president and founder Scott Hauge, “This survey is used by SB-Cal to guide its advocacy efforts and it is influential in expressing the problems faced by small business to opinion makers. An example is that the cost of providing health care was the most important issue to small business owners last year.” Scott Hauge went on to say. “The Governor and legislators are now addressing this issue that is of vital concern to small business owners.”
In addition to the current small business survey, results of past surveys may be found on SB-Cal’s website.
Small Business California represents the interests of small businesses in California. Its Board of Directors are leading advocates for small businesses and represent thousands of small businesses in every part of the state. More information regarding Small Business California can be found at http://smallbusinesscalifornia.org/.
And finally words cannot express my gratitude for all of my extended family[ all of you] that sent emails to me about my brother’s death. Your support is a blessing to me and my family and I can’t think of a better gift during these difficult times. At last count I had around 300 responses and last night I gave a copy of all of these to my mom. I will also be providing my sister in law a copy
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
Friday, January 21, 2011
1099 bill/ 504 loans/ survey
I received this email from Kevin in Congressman Lungren’s office yesterday about HR 4 the 1099 repeal bill.
It is interesting that Congressman Lungren has 255 cosponsors [21 Democrats] so clearly it is going to pass yet three Democratic Senators - Nelson [Nebraska] Cantwell [Washington] and Klobuchar [Minn] sent a letter to Speaker Boehner asking him to pass HR 4.
The big question is what will happen in the Senate. Will the Democrats hold a filibuster and block this in the Senate?
If you want to see if your Congressperson was a cosponsor go to www.thomas.gov and put in HR 4.
From: Holsclaw, Kevin [mailto:Kevin.Holsclaw@mail.house.gov]
Sent: Thursday, January 20, 2011 1:58 PM
To: Scott Hauge
Subject: FW: The Hill
Scott:
As if 255 cosponsor on our bill (H.R. 4) I thought you would find the link below interesting.
Thanks again for all of your help.
Kevin
http://thehill.com/blogs/on-the-money/domestic-taxes/139167-senators-urge-boehner-to-pass-1099-repeal
The Small Business Jobs bill had a provision to allow refinancing of 504loans [commercial real estate]. It provided that this would remain in effect for two years from the passage of the bill. I just learned that the regulations have not been written yet and will not be until March and we really have no assurance it will be done then.
So one quarter of the loan period is gone because they can’t get the regulations written. This is Washington at its worst.
The surveys are beginning to come in and thank you to all that have completed it. If you haven’t done so already please take between 5 and 10 minutes . Help Small Business California set our agenda for 2011.
2011 Small Business California Survey
http://www.zoomerang.com/Survey/WEB22BQSFBGKKD/
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
It is interesting that Congressman Lungren has 255 cosponsors [21 Democrats] so clearly it is going to pass yet three Democratic Senators - Nelson [Nebraska] Cantwell [Washington] and Klobuchar [Minn] sent a letter to Speaker Boehner asking him to pass HR 4.
The big question is what will happen in the Senate. Will the Democrats hold a filibuster and block this in the Senate?
If you want to see if your Congressperson was a cosponsor go to www.thomas.gov and put in HR 4.
From: Holsclaw, Kevin [mailto:Kevin.Holsclaw@mail.house.gov]
Sent: Thursday, January 20, 2011 1:58 PM
To: Scott Hauge
Subject: FW: The Hill
Scott:
As if 255 cosponsor on our bill (H.R. 4) I thought you would find the link below interesting.
Thanks again for all of your help.
Kevin
http://thehill.com/blogs/on-the-money/domestic-taxes/139167-senators-urge-boehner-to-pass-1099-repeal
The Small Business Jobs bill had a provision to allow refinancing of 504loans [commercial real estate]. It provided that this would remain in effect for two years from the passage of the bill. I just learned that the regulations have not been written yet and will not be until March and we really have no assurance it will be done then.
So one quarter of the loan period is gone because they can’t get the regulations written. This is Washington at its worst.
The surveys are beginning to come in and thank you to all that have completed it. If you haven’t done so already please take between 5 and 10 minutes . Help Small Business California set our agenda for 2011.
2011 Small Business California Survey
http://www.zoomerang.com/Survey/WEB22BQSFBGKKD/
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
Wednesday, January 19, 2011
Annual Survey/ ACO Webinar
Please find link to Small Business California’s 7th annual survey.
It takes about 10 minutes. This has become a very influential survey and sets the agenda for Small Business California for the year. Last year we had about 2700 responses from every county in the state.
Could you please forward this to others.
For past survey results go to our website: www.smallbusinesscalifornia.org
Link to survey for SB California 2011 Survey:
http://www.zoomerang.com/Survey/WEB22BQSFBGKKD/
Many of you expressed an interest in a webinar on the Affordable Care Act [National Health Bill]. Small Business California was going to do this but it does not make sense to duplicate efforts. If you are interested you can register below.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
Dear Friend:
Small Business Majority, in conjunction with U.S. PIRG Education Fund, is excited to announce a national webinar series:
Your Bottom Line:
What’s in healthcare reform for your small business.
This one-hour webinar will focus on what the new healthcare law, the Affordable Care Act, means for small businesses. It will focus on both federal and state provisions to help local small business owners understand how the law will affect them. Topics being discussed include: small business tax credits (who’s eligible for them and how to claim them), state insurance exchanges, high-risk pools, shared responsibility, cost containment, and tools and resources available for small businesses interested in learning more about the law. A question and answer period will follow.
Please see the schedule below and click on the appropriate link to sign up. Also, please feel free to share this far and wide.
Best,
Rhett Buttle
National Outreach and Government Affairs Manager
Small Business Majority
Webinar #4: Western Region
California & Alaska
February 4, 2011 @ 3:00 PM PST
HERE IS THE LINK TO REGISTER:
https://cc.readytalk.com/cc/schedule/display.do?udc=fdcs8cm7h6ml
It takes about 10 minutes. This has become a very influential survey and sets the agenda for Small Business California for the year. Last year we had about 2700 responses from every county in the state.
Could you please forward this to others.
For past survey results go to our website: www.smallbusinesscalifornia.org
Link to survey for SB California 2011 Survey:
http://www.zoomerang.com/Survey/WEB22BQSFBGKKD/
Many of you expressed an interest in a webinar on the Affordable Care Act [National Health Bill]. Small Business California was going to do this but it does not make sense to duplicate efforts. If you are interested you can register below.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
Dear Friend:
Small Business Majority, in conjunction with U.S. PIRG Education Fund, is excited to announce a national webinar series:
Your Bottom Line:
What’s in healthcare reform for your small business.
This one-hour webinar will focus on what the new healthcare law, the Affordable Care Act, means for small businesses. It will focus on both federal and state provisions to help local small business owners understand how the law will affect them. Topics being discussed include: small business tax credits (who’s eligible for them and how to claim them), state insurance exchanges, high-risk pools, shared responsibility, cost containment, and tools and resources available for small businesses interested in learning more about the law. A question and answer period will follow.
Please see the schedule below and click on the appropriate link to sign up. Also, please feel free to share this far and wide.
Best,
Rhett Buttle
National Outreach and Government Affairs Manager
Small Business Majority
Webinar #4: Western Region
California & Alaska
February 4, 2011 @ 3:00 PM PST
HERE IS THE LINK TO REGISTER:
https://cc.readytalk.com/cc/schedule/display.do?udc=fdcs8cm7h6ml
Tuesday, January 18, 2011
Affordable Care Act
One of the things I try to do with this email is make information available that the SBA provides.
I have been asked by the SBA to forward this link to my email tree.
Please see link below to a message by Administrator Karen Mills. You will be particularly interested in her comments about the 1099 requirements in the health bill.
http://www.sba.gov/affordable-care-act-working-small-business
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
I have been asked by the SBA to forward this link to my email tree.
Please see link below to a message by Administrator Karen Mills. You will be particularly interested in her comments about the 1099 requirements in the health bill.
http://www.sba.gov/affordable-care-act-working-small-business
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
Monday, January 17, 2011
FDIC Opens Small Business Hotline
Please see information regarding FDIC hotline on small business lending - FDIC opens hotline for small businesses .
The Federal Deposit Insurance Corp. launched a hotline Thursday that enables small businesses to express concerns or complaints about the availability of bank credit.
The hotline is (855) 334-2249.
Information related to credit programs, SBA, the hotline, and submission forms can be found at
www.fdic.gov/smallbusiness
Mary Salinas Durón
Senior Community Affairs Specialist
Federal Deposit Insurance Corporation
It is expected that Assemblywoman Nancy Skinner will be introducing legislation this week to institute a tax on internet sales. It is estimates that this will generate about $500 million in revenues to the state.
What are your thoughts on this?
Small Business California has put together a committee to address the regulatory burdens on California businesses.
On January 21 we will have a conference call with a staff member of Assemblyman Jerry Hill’s office. We are especially interested in addressing the permit process.
If you have had problems in this area please let me know.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
The Federal Deposit Insurance Corp. launched a hotline Thursday that enables small businesses to express concerns or complaints about the availability of bank credit.
The hotline is (855) 334-2249.
Information related to credit programs, SBA, the hotline, and submission forms can be found at
www.fdic.gov/smallbusiness
Mary Salinas Durón
Senior Community Affairs Specialist
Federal Deposit Insurance Corporation
It is expected that Assemblywoman Nancy Skinner will be introducing legislation this week to institute a tax on internet sales. It is estimates that this will generate about $500 million in revenues to the state.
What are your thoughts on this?
Small Business California has put together a committee to address the regulatory burdens on California businesses.
On January 21 we will have a conference call with a staff member of Assemblyman Jerry Hill’s office. We are especially interested in addressing the permit process.
If you have had problems in this area please let me know.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
Friday, January 14, 2011
House GOP to move quickly on 1099 repeal/ADA/Small Business California Survey /AIA to work with Small Business California
The bill by Congressman Lungren to repeal the requirement of 1099s on all business transactions $600 or more has been renumbered from HR 144 to HR4.
This means it will move quickly and will be taken up shortly after the House votes on HR 2 which would repeal the healthcare law.
See link below for details.
http://thehill.com/blogs/floor-action/house/137711-breaking-into-the-house-top-10-this-week-its-1099-repeal
In San Francisco there have been a rash of lawsuits against small businesses under the Americans with Disabilities Act.
Are small businesses having problem with this in your area?
Next week I will be sending to you our 7th annual small business survey. Last year we had about 2700 responses to the survey and there was at least one survey returned from every county in the state.
The survey will be distributed by the Small Business Development Centers and numerous Chambers and Trade Association around the state. We hope you will also distribute through your email trees This survey is very important to Small Business California as it sets our agenda for the year.
You can see the results of past surveys by going to our website at www.smallbusinesscalifornia.org
Last Saturday I went to the swearing in of the new Supervisors in San Francisco. I had the good fortune to meet Clark Manus who recently was elected First Vice President of the American Institute of Architects.He will be the next President in a year and a half.
Clark is partner in the firm of Heller Manus in San Francisco. In our discussion he has agreed to work with Small Business California as he sees that our issues are those of his members. I look forward to working with you Clark.
I hope you find these emails informative and if you are not a member will join Small Business California. You can do so by going to our website at www.smallbusinesscalifornia.org.
Thank you to all of you that have joined. We are making a difference.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
This means it will move quickly and will be taken up shortly after the House votes on HR 2 which would repeal the healthcare law.
See link below for details.
http://thehill.com/blogs/floor-action/house/137711-breaking-into-the-house-top-10-this-week-its-1099-repeal
In San Francisco there have been a rash of lawsuits against small businesses under the Americans with Disabilities Act.
Are small businesses having problem with this in your area?
Next week I will be sending to you our 7th annual small business survey. Last year we had about 2700 responses to the survey and there was at least one survey returned from every county in the state.
The survey will be distributed by the Small Business Development Centers and numerous Chambers and Trade Association around the state. We hope you will also distribute through your email trees This survey is very important to Small Business California as it sets our agenda for the year.
You can see the results of past surveys by going to our website at www.smallbusinesscalifornia.org
Last Saturday I went to the swearing in of the new Supervisors in San Francisco. I had the good fortune to meet Clark Manus who recently was elected First Vice President of the American Institute of Architects.He will be the next President in a year and a half.
Clark is partner in the firm of Heller Manus in San Francisco. In our discussion he has agreed to work with Small Business California as he sees that our issues are those of his members. I look forward to working with you Clark.
I hope you find these emails informative and if you are not a member will join Small Business California. You can do so by going to our website at www.smallbusinesscalifornia.org.
Thank you to all of you that have joined. We are making a difference.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
Wednesday, January 12, 2011
Response to Governors Budget/SBA Fact Sheet - Tax Breaks for Small Businesses
Yesterday I asked you about whether you would support the taxes proposed by the Governor.
I received over 100 responses and a slight majority of you were opposed.
The most cited reason was that pensions were not addressed.
I also heard from some of you that you could not support the sales tax when there is no tax on internet sales putting brick and mortar stores at a competitive disadvantage.
I also heard a lot of opposition to the elimination of the Enterprise Zone tax credit.
Small Business California will continue to follow this.
Small Business California played a major role in the passage of the Small Business Jobs bill. Most of the discussion around this bill has been access to capital but there were a number of tax breaks for small business.
Please see below a complete list of small business tax credits mostly attributed to the Jobs bill.
Hopefully there is something in this for you.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
SBA Fact Sheet
Tax Breaks for Small Businesses
America’s entrepreneurs and small business owners continue to grow their businesses and create jobs due to unprecedented tax cuts that have been signed into law over the past two years. This includes billions of dollars in tax relief from laws such as the Recovery Act, the Small Business Jobs Act, the HIRE Act, the Affordable Care Act, and the Tax Relief and Job Creation Act.
Zero Capital Gains Taxes on Key Investments in Small Businesses
• Capital gains taxes have been fully eliminated on certain small business stock – providing an incentive for key investments in small businesses
• The Recovery Act excluded 75 percent of capital gains from the sale of certain small business investments held more than five years. The Small Business Jobs Act went one step further – excluding all capital gains from these investments in 2010 after the passage of the Small Business Jobs Act from taxes.
Up to $500,000 Small Business Expensing Limit
• Small businesses can write‐off a larger portion of the cost of new equipment purchases in the year of purchase rather than depreciating the cost over time. This provides an immediate tax benefit.
• The Recovery Act increased the maximum amount that small businesses could expense – which otherwise would have been $125,000– to $250,000 for 2009. For 2010 and 2011, the Small Business Jobs Act doubled that to $500,000 and increased the phase‐out threshold to $2 million.
100% Accelerated/Bonus Depreciation
• All businesses—large and small— are allowed to expense their investments in 2011.
• The Recovery Act allowed businesses to write off the cost of their investments more quickly by allowing up to 50 percent deductions in the first year for investments made in 2009. The Small Business Jobs Act extended this benefit through 2010, and the Tax Relief and Job Creation Act went one step further – allowing up to 100 percent deductions in the first year for investments made between September 8, 2010, and December 31, 2011. It also extended 50 percent bonus depreciation through tax year 2012. Allowing expensing in 2011 will provide a crucial incentive to 2 million businesses—both large and small—to invest and create jobs in the U.S.
Tax Relief/Simplification for Cell Phone Deductions
• The Small Business Jobs Act simplified rules around claiming deductions for business cell phones so that – starting in 2010– cell phones can be expensed and deducted like other property, without additional, onerous requirements.
Increased Deduction for Entrepreneurs’ Start‐Up Costs
• For 2010, the Small Business Jobs Act temporarily doubled to $10,000 the deduction amount new entrepreneurs can claim for business start-up expenditures.
5‐Year Carryback of General Business Credits
• To help small businesses in these hard economic times, we’re allowing them to “carryback” their business credits for five years rather than one.
• A business’s unused general business credit can be usually carried back to offset taxes paid the previous year. The remaining amount can be carried forward 20 years to offset future taxes. The Small Business Jobs Act extended the “carryback” period from one year to five years for certain small businesses in 2010. This helps businesses apply their 2010 credits to previous tax payments going back to 2005.
Limitations on Penalties for Errors in Tax Reporting
• We’ve fixed penalties for errors in tax reporting so that small businesses don’t face disproportionately high penalties.
• Strict penalties apply when taxpayers fail to disclose their participation in certain “reportable transactions.” For many small businesses, the penalties are disproportionately high. The Small Business Jobs Act changed the general rule for determining the amount of the appropriate penalty to achieve proportionality between the penalty and the tax savings that were the object of the transaction starting tax year 2010.
General Business Credit Not Subject to Alternative Minimum Tax (AMT)
• The Small Business Jobs Act allowed certain small businesses with $50 million or less in average annual gross receipts for the previous three years to use all types of general business credits against their AMT liability, not only their regular tax liabilities, starting in tax year 2010.
New Health Care Tax Credits and Deductions
• The Affordable Care Act provides small businesses with tax credits for starting or continuing to provide health insurance coverage to employees. Also, self‐employed business owners are allowed to deduct health insurance costs for themselves or their families.
• The Affordable Care Act provided tax credits up to 35 percent of employee premium costs for certain small businesses for tax years 2010 through 2013. In 2014, the maximum credit increases up to 50%.
• The Small Business Jobs Act allowed self‐employed individuals to deduct 100 percent of insurance costs incurred in 2010 for themselves and their families.
A New Tax Credit for Hiring Unemployed Workers
• The HIRE Act helps businesses hire and retain unemployed workers.
• In 2010, the HIRE Act provided a payroll tax credit for hiring employees who have been looking for work for 60 days or more days and also provides a credit of up to $1,000 for retaining them.
1/11/2011 – U.S. Small Business Administration Press Office
I received over 100 responses and a slight majority of you were opposed.
The most cited reason was that pensions were not addressed.
I also heard from some of you that you could not support the sales tax when there is no tax on internet sales putting brick and mortar stores at a competitive disadvantage.
I also heard a lot of opposition to the elimination of the Enterprise Zone tax credit.
Small Business California will continue to follow this.
Small Business California played a major role in the passage of the Small Business Jobs bill. Most of the discussion around this bill has been access to capital but there were a number of tax breaks for small business.
Please see below a complete list of small business tax credits mostly attributed to the Jobs bill.
Hopefully there is something in this for you.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
SBA Fact Sheet
Tax Breaks for Small Businesses
America’s entrepreneurs and small business owners continue to grow their businesses and create jobs due to unprecedented tax cuts that have been signed into law over the past two years. This includes billions of dollars in tax relief from laws such as the Recovery Act, the Small Business Jobs Act, the HIRE Act, the Affordable Care Act, and the Tax Relief and Job Creation Act.
Zero Capital Gains Taxes on Key Investments in Small Businesses
• Capital gains taxes have been fully eliminated on certain small business stock – providing an incentive for key investments in small businesses
• The Recovery Act excluded 75 percent of capital gains from the sale of certain small business investments held more than five years. The Small Business Jobs Act went one step further – excluding all capital gains from these investments in 2010 after the passage of the Small Business Jobs Act from taxes.
Up to $500,000 Small Business Expensing Limit
• Small businesses can write‐off a larger portion of the cost of new equipment purchases in the year of purchase rather than depreciating the cost over time. This provides an immediate tax benefit.
• The Recovery Act increased the maximum amount that small businesses could expense – which otherwise would have been $125,000– to $250,000 for 2009. For 2010 and 2011, the Small Business Jobs Act doubled that to $500,000 and increased the phase‐out threshold to $2 million.
100% Accelerated/Bonus Depreciation
• All businesses—large and small— are allowed to expense their investments in 2011.
• The Recovery Act allowed businesses to write off the cost of their investments more quickly by allowing up to 50 percent deductions in the first year for investments made in 2009. The Small Business Jobs Act extended this benefit through 2010, and the Tax Relief and Job Creation Act went one step further – allowing up to 100 percent deductions in the first year for investments made between September 8, 2010, and December 31, 2011. It also extended 50 percent bonus depreciation through tax year 2012. Allowing expensing in 2011 will provide a crucial incentive to 2 million businesses—both large and small—to invest and create jobs in the U.S.
Tax Relief/Simplification for Cell Phone Deductions
• The Small Business Jobs Act simplified rules around claiming deductions for business cell phones so that – starting in 2010– cell phones can be expensed and deducted like other property, without additional, onerous requirements.
Increased Deduction for Entrepreneurs’ Start‐Up Costs
• For 2010, the Small Business Jobs Act temporarily doubled to $10,000 the deduction amount new entrepreneurs can claim for business start-up expenditures.
5‐Year Carryback of General Business Credits
• To help small businesses in these hard economic times, we’re allowing them to “carryback” their business credits for five years rather than one.
• A business’s unused general business credit can be usually carried back to offset taxes paid the previous year. The remaining amount can be carried forward 20 years to offset future taxes. The Small Business Jobs Act extended the “carryback” period from one year to five years for certain small businesses in 2010. This helps businesses apply their 2010 credits to previous tax payments going back to 2005.
Limitations on Penalties for Errors in Tax Reporting
• We’ve fixed penalties for errors in tax reporting so that small businesses don’t face disproportionately high penalties.
• Strict penalties apply when taxpayers fail to disclose their participation in certain “reportable transactions.” For many small businesses, the penalties are disproportionately high. The Small Business Jobs Act changed the general rule for determining the amount of the appropriate penalty to achieve proportionality between the penalty and the tax savings that were the object of the transaction starting tax year 2010.
General Business Credit Not Subject to Alternative Minimum Tax (AMT)
• The Small Business Jobs Act allowed certain small businesses with $50 million or less in average annual gross receipts for the previous three years to use all types of general business credits against their AMT liability, not only their regular tax liabilities, starting in tax year 2010.
New Health Care Tax Credits and Deductions
• The Affordable Care Act provides small businesses with tax credits for starting or continuing to provide health insurance coverage to employees. Also, self‐employed business owners are allowed to deduct health insurance costs for themselves or their families.
• The Affordable Care Act provided tax credits up to 35 percent of employee premium costs for certain small businesses for tax years 2010 through 2013. In 2014, the maximum credit increases up to 50%.
• The Small Business Jobs Act allowed self‐employed individuals to deduct 100 percent of insurance costs incurred in 2010 for themselves and their families.
A New Tax Credit for Hiring Unemployed Workers
• The HIRE Act helps businesses hire and retain unemployed workers.
• In 2010, the HIRE Act provided a payroll tax credit for hiring employees who have been looking for work for 60 days or more days and also provides a credit of up to $1,000 for retaining them.
1/11/2011 – U.S. Small Business Administration Press Office
Tuesday, January 11, 2011
In my last email I did not make it clear that the income tax and sales tax being charged now would not be changed from current levels.
The proposal by the Governor reinstates the increases that were scheduled to sunset.
Also there were $12.5 billion in cuts including:
$1.7 billion in Medical,
$1.5 billion in welfare to work,
$750 million Department of Developmental Services,
$1 billion higher education [UC/CSU],
$308 million California employees, and
Elimination of Enterprise Zone and reduction in redevelopment just to name a few.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
The proposal by the Governor reinstates the increases that were scheduled to sunset.
Also there were $12.5 billion in cuts including:
$1.7 billion in Medical,
$1.5 billion in welfare to work,
$750 million Department of Developmental Services,
$1 billion higher education [UC/CSU],
$308 million California employees, and
Elimination of Enterprise Zone and reduction in redevelopment just to name a few.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
Governor Budget/ Minimum Wage
Yesterday Governor Brown delivered his proposed budget with $25.4 billion of cuts and taxes through June 2012.
The taxes he is looking to put on the June ballot are:
1. A .25 percent surcharge in the state income tax. Revenue generated $3.2 billion
2. A 1 % increase in the state sales tax. Revenue generated 4.5 billion over 12 months
3. A increase in the vehicle license fee from .65% of a cars value to 1,15%. Revenue generated $1.3 billion.
In order for these taxes to take effect it will have to go to the voters in June.
What is your position on these taxes?
AB10 has been introduced by Assemblyman Alejo. It will provide for an annual adjustment of the minimum wage.
What is your position on this. The current minimum wage is $8.
Would you support this?
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2109
The taxes he is looking to put on the June ballot are:
1. A .25 percent surcharge in the state income tax. Revenue generated $3.2 billion
2. A 1 % increase in the state sales tax. Revenue generated 4.5 billion over 12 months
3. A increase in the vehicle license fee from .65% of a cars value to 1,15%. Revenue generated $1.3 billion.
In order for these taxes to take effect it will have to go to the voters in June.
What is your position on these taxes?
AB10 has been introduced by Assemblyman Alejo. It will provide for an annual adjustment of the minimum wage.
What is your position on this. The current minimum wage is $8.
Would you support this?
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2109
Thursday, January 06, 2011
SmallBusiness: Protect Small Businesses from Abusive Credit Card Practices
Yesterday I received from Lori Pepper in Nancy Pelosi’s office information on a credit card bill that Congresswoman Nita Lowey will be introducing. I have heard from many of you that this is a major problem for small businesses as outlined below.
Please note the National Small Business Association of which Small Business California is an affiliate member is driving this bill. I spoke to Dana Miller this morning and she said they will not have a bill number for a week or two.
Congresswoman Lowie is looking for other House members to cosponsor. I have been in contact with Congresswoman Jackie Speier’s and Congresswoman Lynn Woolsey’s office to ask them to cosponsor.
I would ask each of you to contact your House member at:
https://writerep.house.gov/writerep/welcome.shtml
and ask if they would cosponsor. If you do not know your House member this will direct you.
Please let me know what you hear.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
From: e-Dear Colleague
Sent: Wednesday, January 05, 2011 4:54 PM
Subject: SmallBusiness: Dear Colleague: Protect Small Businesses from Abusive Credit Card Practices
Protect Small Businesses from Abusive Credit Card Practices
From: The Honorable Nita M. Lowey
Sent By: dana.miller@mail.house.gov
Date: 1/5/2011
Join the National Small Business Association in Protecting Small Businesses from Deceptive and Unfair Credit Card Practices
BE AN ORIGINAL COSPONSOR OF THE SMALL BUSINESS CREDIT CARD ACT of 2011
Dear Colleague,
Small businesses are struggling to obtain and maintain access to credit to cover the purchase of supplies, new inventory and other routine operating expenses. As traditional forms of lending have become unaffordable and hard to acquire, small business owners are forced to rely on credit cards to fund their business. In fact, the National Small Business Association found that 44% of small business owners have used credit cards to help finance day-to-day operations.
Yet small businesses are not afforded the same protections as individuals from abusive and deceptive credit card practices. The Small Business Credit Card Act of 2011 would give our small businesses an even playing field by expanding protections in the Credit Cardholder Bill of Rights to small businesses with 50 or fewer employees. And, if a business owner prefers to keep things the way they are, this bill has an opt-out provision.
To help small businesses create jobs and rejuvenate our economy, we must shield them from unfair interest rate changes, deceptive practices, and unnecessary fees. The Small Business Credit Card Act of 2011 would prevent credit card companies from arbitrarily raising interest rates on small businesses without proper notice and prohibit interest rate increases on existing balances, which makes it even harder for small businesses to make payments. In addition, this bill would prevent unfair fees, prohibit interest charges on debt paid on time, and ensure fairness in payment practices by requiring that any payment over the minimum apply to the balance with the highest interest rate.
I hope you will become an original cosponsor of the Small Business Credit Card Act. If you would like additional information, please contact Dana Miller on my staff at Dana.Miller@mail.house.gov or x56506.
Sincerely,
Nita Lowey (D-NY)
Member of Congress
Please note the National Small Business Association of which Small Business California is an affiliate member is driving this bill. I spoke to Dana Miller this morning and she said they will not have a bill number for a week or two.
Congresswoman Lowie is looking for other House members to cosponsor. I have been in contact with Congresswoman Jackie Speier’s and Congresswoman Lynn Woolsey’s office to ask them to cosponsor.
I would ask each of you to contact your House member at:
https://writerep.house.gov/writerep/welcome.shtml
and ask if they would cosponsor. If you do not know your House member this will direct you.
Please let me know what you hear.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
From: e-Dear Colleague
Sent: Wednesday, January 05, 2011 4:54 PM
Subject: SmallBusiness: Dear Colleague: Protect Small Businesses from Abusive Credit Card Practices
Protect Small Businesses from Abusive Credit Card Practices
From: The Honorable Nita M. Lowey
Sent By: dana.miller@mail.house.gov
Date: 1/5/2011
Join the National Small Business Association in Protecting Small Businesses from Deceptive and Unfair Credit Card Practices
BE AN ORIGINAL COSPONSOR OF THE SMALL BUSINESS CREDIT CARD ACT of 2011
Dear Colleague,
Small businesses are struggling to obtain and maintain access to credit to cover the purchase of supplies, new inventory and other routine operating expenses. As traditional forms of lending have become unaffordable and hard to acquire, small business owners are forced to rely on credit cards to fund their business. In fact, the National Small Business Association found that 44% of small business owners have used credit cards to help finance day-to-day operations.
Yet small businesses are not afforded the same protections as individuals from abusive and deceptive credit card practices. The Small Business Credit Card Act of 2011 would give our small businesses an even playing field by expanding protections in the Credit Cardholder Bill of Rights to small businesses with 50 or fewer employees. And, if a business owner prefers to keep things the way they are, this bill has an opt-out provision.
To help small businesses create jobs and rejuvenate our economy, we must shield them from unfair interest rate changes, deceptive practices, and unnecessary fees. The Small Business Credit Card Act of 2011 would prevent credit card companies from arbitrarily raising interest rates on small businesses without proper notice and prohibit interest rate increases on existing balances, which makes it even harder for small businesses to make payments. In addition, this bill would prevent unfair fees, prohibit interest charges on debt paid on time, and ensure fairness in payment practices by requiring that any payment over the minimum apply to the balance with the highest interest rate.
I hope you will become an original cosponsor of the Small Business Credit Card Act. If you would like additional information, please contact Dana Miller on my staff at Dana.Miller@mail.house.gov or x56506.
Sincerely,
Nita Lowey (D-NY)
Member of Congress
Tuesday, January 04, 2011
NSBA Progress Report on Small-Business Victories
Yesterday I asked if the health care law should be repealed. A slight majority of the approximately 75 responses said “no”.
On January 12, the Republicans will propose repeal in the House. It is expected to pass. Repeal is expected to fail in the Senate.
Small Business California is considering doing a webinar on the health care law including a discussion of California’s Health Exchange and other provisions affecting small business
Would you be interested in participating? If so what topics would you like discussed?
In a separate matter, California law requires all employers to notify their employees of the Federal Earned Tax credit. You need to file this one week before or after, or at the same time as any annual wage summary. For more information-and the forms:
http://www.edd.ca.gov/payroll_taxes/Earned_Income_Tax_Credit_Notification.htm
Small Business California is an affiliate member of the National Small Business Association. Please see below their progress report for the last two years.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
NSBA Victories: A Progress Report
Dear NSBA Member:
The last two years has brought unprecedented challenges for America’s small businesses. As the nation’s oldest small-business advocacy group, NSBA knows how important it is for you to have a voice in Washington, D.C. For the last 78 years, NSBA has served as that voice and today, as we all look forward to what we hope will be year of growth and prosperity, I urge you to join us in reflecting on some of our recent legislative successes, which are all the more significant given the myriad challenges we’ve all faced.
NSBA has been instrumental in many key pieces of legislation over the past two years which take important steps forward in promoting a thriving small-business community for the months and years to come. We have compiled those victories in this document, NSBA Victories: A Progress Report.
Many of these wins were long standing priorities upon which NSBA has lobbied for years, such as greater independence for the SBA Office of Advocacy, and some were overly-burdensome proposals which NSBA was instrumental in stopping such as card-check legislation.
Our work is far from done. As the new session of Congress gets underway and we find ourselves thinking about the months ahead, it is important to remember that your efforts are not in vain. I encourage you to take a few moments to read through this Progress Report on the many wins we've achieved as an organization. NSBA remains committed to tackling the critical small-business issues in the coming year, and I thank you for all your support and hard work.
Please use this link to view the Progress Report -
http://www.nsba.biz/docs/progress_report.pdf
Sincerely,
Todd McCracken
NSBA President
On January 12, the Republicans will propose repeal in the House. It is expected to pass. Repeal is expected to fail in the Senate.
Small Business California is considering doing a webinar on the health care law including a discussion of California’s Health Exchange and other provisions affecting small business
Would you be interested in participating? If so what topics would you like discussed?
In a separate matter, California law requires all employers to notify their employees of the Federal Earned Tax credit. You need to file this one week before or after, or at the same time as any annual wage summary. For more information-and the forms:
http://www.edd.ca.gov/payroll_taxes/Earned_Income_Tax_Credit_Notification.htm
Small Business California is an affiliate member of the National Small Business Association. Please see below their progress report for the last two years.
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
NSBA Victories: A Progress Report
Dear NSBA Member:
The last two years has brought unprecedented challenges for America’s small businesses. As the nation’s oldest small-business advocacy group, NSBA knows how important it is for you to have a voice in Washington, D.C. For the last 78 years, NSBA has served as that voice and today, as we all look forward to what we hope will be year of growth and prosperity, I urge you to join us in reflecting on some of our recent legislative successes, which are all the more significant given the myriad challenges we’ve all faced.
NSBA has been instrumental in many key pieces of legislation over the past two years which take important steps forward in promoting a thriving small-business community for the months and years to come. We have compiled those victories in this document, NSBA Victories: A Progress Report.
Many of these wins were long standing priorities upon which NSBA has lobbied for years, such as greater independence for the SBA Office of Advocacy, and some were overly-burdensome proposals which NSBA was instrumental in stopping such as card-check legislation.
Our work is far from done. As the new session of Congress gets underway and we find ourselves thinking about the months ahead, it is important to remember that your efforts are not in vain. I encourage you to take a few moments to read through this Progress Report on the many wins we've achieved as an organization. NSBA remains committed to tackling the critical small-business issues in the coming year, and I thank you for all your support and hard work.
Please use this link to view the Progress Report -
http://www.nsba.biz/docs/progress_report.pdf
Sincerely,
Todd McCracken
NSBA President
Monday, January 03, 2011
Health Care Bill/ Increase in Small Businesses purchasing health insurance
In 2011 the Republicans will become the majority in the House and will increase their numbers in the Senate. Many of the Republican members have said their goal is to repeal the Patient Protection and Affordable Care Act passed in March 2010.
I would like to know from you whether you think the Health Care bill should be repealed.
If not what are the elements of the Health Care bill you think help small business.
Kaiser Family Foundation recently reported that more small businesses with between 3 and 9 employees are purchasing health insurance for their employees. They indicate that 59% of these businesses will purchase insurance in 2010 while 46% purchased insurance in 2009.
It is believed this is because of the tax credit.
Are you one of these businesses?
Will you be taking advantage of the tax credit?
Do you know the details of the tax credit?
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
I would like to know from you whether you think the Health Care bill should be repealed.
If not what are the elements of the Health Care bill you think help small business.
Kaiser Family Foundation recently reported that more small businesses with between 3 and 9 employees are purchasing health insurance for their employees. They indicate that 59% of these businesses will purchase insurance in 2010 while 46% purchased insurance in 2009.
It is believed this is because of the tax credit.
Are you one of these businesses?
Will you be taking advantage of the tax credit?
Do you know the details of the tax credit?
Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188
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