President Obama proposed a fair funding plan that would close corporate loopholes and make the wealthiest Americans pay their fair share, all part of a sound approach for funding the American Jobs Act.
For years, the wealthiest Americans and biggest corporations have been underfunding our government by paying much less than their fair share in taxes. Closing a myriad of corporate tax loopholes and making sure millionaires pay the same percentage of taxes as hard-working Americans will go a long way to restoring some equity in our tax system.
The American Jobs Act will have countless benefits for Virginia's small business owners, unemployed workers, teachers, veterans and working families.
Obama’s Plan to Create Jobs
1. Small Business Tax Cuts to help small businesses grow and hire new people by …
* cutting payroll tax in half for businesses with payrolls less than $5 million/year,
* having a payroll tax holiday for those who add workers or increase wages for workers,
* extending the incentive for new investments (100% expensing) into 2012, and
* supporting regulatory reforms/reductions that help entrepreneurs and small businesses access capital.
2. Put Americans back to work rebuilding and modernizing America by …
* offering a tax credit for hiring veterans, especially for our “Returning Heroes,”
* preventing up to 280,000 teacher layoffs, modernizing 35,000 schools,
* keeping cops and fireﬁghters on the job,
* making immediate investments in rebuilding our infrastructure putting 1000s to work, and
* expanding access to high-speed wireless
3. Pathways back to work for Americans looking for jobs through …
* reform to the unemployment insurance program, including work-sharing and a new “Bridge to Work” program,
* a $4,000 tax credit to employers for hiring long-term unemployed persons,
* prohibiting discrimination against the unemployed when hiring, and
* expanding job opportunities/training/subsidies for low-income youth and adults
4. Tax relief for American workers and family by …
* extending the Obama 50% payroll tax cut for 160 million workers through 2012, and …
* allowing more Americans to reﬁnance their mortgages at 4% interest.
5. Fully paid for as part of the President’s long-term deficit reduction plan.
* To ensure that the American Jobs Act is fully paid for, the President is asking the Joint Committee to come up with sufficient deficit reduction to pay for this bill.
This factsheet was produced by Ginney Downie of Fredericksburg for her website: Justthoughtyoushouldknow.org
Sources: “The American Jobs Act: President Obama’s Plan to Create Jobs Now,” www.whitehouse.gov.