Bush Proposes Tax-Cuts for Small Businesses
Citing concerns about the pace of U.S. job growth, President Bush is calling for a new round of tax cuts targeting small businesses. The tax cut package, which would cost more than $117 billion over 10 years, will require congressional approval, which is unlikely any time soon.
The new tax cuts draw battle lines with Democrats in the run-up to the November
elections for control of Congress. Democrats, who control the Senate, say Bush’s
plan would deepen federal budget deficits and undermine Social Security as the
baby boom generation approaches retirement. But the tax cuts are popular with
businesses and other key constituents. Bush will need their help if Republicans
are to retake the Senate and extend their slim majority in the House of Representatives.
Under Bush’s plan, small businesses would be able to write off more of their
equipment expenses, as well as pool their resources to reduce the cost of providing
health care coverage to employees. Bush would also repeal estate taxes.
Moderator Comment: Should Congress approve President
Bush’s tax cut proposals? Why?
Talk about taxation with representation. The estate tax
issue has turned into a lucrative business for just about everyone but heirs.
Warren Buffet and others may not agree, but the estate tax needs to go – it
never should have been. [George
Anderson – Moderator]