, Author at The S Corporation Association

S-Corp Supports Small Business Tax Modernization Act

More good news for S Corps! Congresswoman Nydia VelC!zquez, Chairwoman of the House Small Business Committee, introduced legislation last week “the Small Business Tax Modernization Act of 2008” that includes many provisions with the potential to benefit the S corporation community.

Of particular interest to S corporations, the bill would allow nonresident aliens to invest in S corporations. This restriction, developed half a century ago, prohibits S corporations from partnering with investors in other countries. Lifting this restriction would enhance an S corporation’s ability to access new sources of capital, which will in turn help generate new investment and job creation …

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admin2019-02-06T18:06:07+00:00July 29, 2008|

Broad Business Coalition Supports BIG Relief

There are increased reports in the media about a potential stimulus package to be considered when Congress returns in September (here and here). If Congress does consider another stimulus package and wants to target help at the small business community, it should act to increase the ability of S corporations to access the capital they already own.

A broad and powerful coalition of 14 trade associations is asking Congress to do just that. A letter sent …

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admin2019-02-06T18:06:07+00:00July 23, 2008|

Small Business Exporters to the Rescue

In a bit of good news, the new trade numbers came in and are in line to add 1.8 percent to the GDP in the second quarter. That, and stronger than expected retail sales numbers, should result in GDP growth of more than 2 percent in the second quarter, putting another dent in public perception that we are in the midst of a recession.

The explosion of exports over the past couple of years is an under-reported story. Exports are up nearly 18 percent in just the last twelve months and …

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admin2019-02-06T18:06:07+00:00July 11, 2008|

Stimulus Getting More Ink

Several papers are reporting what we have been hearing for the past week – a possible second economic stimulus package is in the early stages of discussion. As the Wall Street Journal reported:

Senate Majority Leader Harry Reid (D., Nev.) said he had spoken to the Democratic leadership in the House of Representatives about a second economic-stimulus package, in another attempt to bring the country out of what increasingly seems to be a severe economic downturn.

If Congress takes up another stimulus package, it will likely be in September, not July, and it should include …

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admin2019-02-06T18:06:08+00:00July 11, 2008|

S Corporations and the Estate Tax

With a large fraction of the tax code expiring in the next couple of years, the big surprise may be the growing consensus for compromise over the estate tax. The estate tax is scheduled to go away in 2011 followed by its return in 2011 with a top rate of 55 percent and a $1 million exemption per spouse.

How did the estate tax, perhaps the most contentious and divisive of taxes, get to the head of the line of possible compromises? A couple of factors appear to be in play.

For legislators who support full repeal, the prospect of allowing the …

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admin2019-02-06T18:06:08+00:00June 26, 2008|