Rep. Maloney Hails New Federal Help For NY Small Businesses

Oct 12, 2010
Press Release
New York, NY – U.S. Rep. Carolyn Maloney (D-Manhattan, Queens) today hailed the latest round of help for New York small businesses included in the Small Business Jobs Act, which passed the House with Maloney’s support and was signed into law by President Obama on September 27.
Late last week, the Treasury Department made available federal funding for New York and the other states to help leverage private lending to small businesses. Under this new program, the State of New York will have the opportunity to apply for up to $55 million in federal funds to design partnerships with private lenders to extend greater credit to small businesses. The state will be required to demonstrate that its partnerships will generate $10 in new private lending for every $1 in federal funding. Thus, the new federal allocation for New York is expected to support at least $550 million in new lending.

The Small Business Jobs Act includes a host of additional programs to help small businesses, including:

* Allowing small businesses that buy new equipment to immediately write off the first $500,000 of such investments;
* Helping more than one million eligible small businesses by making certain long-term investments subject to zero capital gains taxes;
* Allowing entrepreneurs who take a chance on a new idea to deduct the first $10,000 of start-up costs from their taxes; and
* Enabling the self-employed to deduct 100% of the cost of health insurance from self-employment taxes.

“This federal funding will help give New York small businesses the credit they need to begin hiring again,” said Rep. Maloney. “Small businesses are the job-creation engine that powers our economy, but the difficulties many small firms have experienced in accessing new credit have prevented that engine from getting fully in gear. It is essential to spur lending to small businesses so that they can increase their hiring and continue to drive our economic recovery.”

“In addition to this new lending program, the Small Business Jobs Act includes eight new small-business tax cuts totaling $12 billion that will apply to small businesses’ taxes for this year– providing an immediate incentive for businesses to make new investments and expand,” Maloney added.

For small businesses (or entrepreneurs considering starting one) who are seeking assistance or more information, the New York office of the SBA stands ready to help. They are located at 26 Federal Plaza, Suite 3100, New York, NY 10278. Telephone: 212-264-4354; Fax: 212- 264-4963; TDD: 212-264-9147.

More details are available here: .