Economic Stimulus - The S Corporation Association

Bailout Update

The Treasury Department announced over the weekend that it would infuse $250 billion directly into the banking system, starting with approximately $125 billion targeted at nine major institutions including Goldman Sachs and Citigroup.

Combined with the coordinated efforts of central banks around the world, the announcement appears to have successfully staunched the record erosion of equity prices over the past two weeks. Interest rates and other indicators are moving in a positive direction as well, indicating that the credit markets may finally loosen up.

If you are keeping track, the latest move by Treasury is just the last in a remarkable and …

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admin2019-02-06T17:22:36+00:00October 14, 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|

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|

Stimulating S Corporations

S Corporation Association Chairman Richard Roderick weighed in on behalf of S corporations yesterday regarding the second stimulus package being developed in the House. In a letter to Small Business Committee Chairwoman Nydia VelC!zquez, Roderick argued that any bill moving through Congress should include assistance to S Corporations.

In particular, the letter advocates for relief from the built in gains tax (BIG) that forces so many S corporations to sit on appreciated assets that could be put to better use. As the letter states:

“According to government statistics, hundreds of thousands of S corporations …

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admin2019-02-06T18:06:09+00:00May 2, 2008|

President to Sign Fiscal Stimulus

The President is expected to sign the fiscal stimulus package on Wednesday. After two weeks of hand ringing and posturing, the Senate finally adopted a slightly modified version of the bill the House and the President originally had negotiated.

As sent to the President, the package would:

Send checks of $600 per filer and $300 per child to families with joint incomes of less than $150,000. Actual amounts will be calculated based on income tax filings for 2007, so expect the actual checks to be in the mail by late spring and early summer.
Encourage new business investment by increasing the limit on …

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admin2019-02-06T18:43:57+00:00February 11, 2008|