LETTER TO THE EDITOR: Stop discouraging entrepreneurship

Question of the Day

Is it still considered bad form to talk politics during a social gathering?

View results

With the 2012 elections now finished, it’s time President Obama and Congress paid attention to what small-business owners and entrepreneurs need and promote policies that will encourage growth on Main Street.

One step the federal government needs to explore is expanding the range of eligible key investments that are exempt from capital-gains taxes in small businesses — from C corporations to LLCs, consulting, financial services, IT and engineering companies.

According to the Small Business Administration, since the recession hit, the number of new small businesses started each year has decreased. With the unemployment rate as high as it is now, the administration and Congress must focus on galvanizing the small-business community and give the jobless an opportunity to create their own jobs by starting a business.

In many cases, this can be an opportunity to start a consulting business to leverage experience in one industry while looking for permanent employment and developing new skills in another growing industry. A great way to stimulate this type of activity is to provide tax incentives and access to capital to small-business owners and entrepreneurs as they start their new businesses on Main Street.

Another idea that should be considered is allowing small-business owners to deduct more in startup expenses, such as the depreciation on necessary equipment and health care expenses. We shouldn’t make startup businesses and solo entrepreneurs pay both the employer and employee share of the payroll tax. We are trying to encourage, and not discourage, growth on Main Street.

Small-business owners and entrepreneurs will eventually build their companies and will hire more people to support growth as their revenues increase. Handicapping them from the start by limiting deductions and making them overpay taxes and regulatory penalties will not support the growth needed in this sector, especially for minority and women-owned businesses.


CEO, founder

Liz Enterprises LLC

Vienna, Va.

© Copyright 2014 The Washington Times, LLC. Click here for reprint permission.

blog comments powered by Disqus
TWT Video Picks
You Might Also Like
  • Maureen McDonnell looks on as her husband, former Virginia Gov. Bob McDonnell, made a statement on Tuesday after the couple was indicted on corruption charges. (associated press)

    PRUDEN: Where have the big-time grifters gone?

  • This photo taken Jan. 9, 2014,  shows New Jersey Gov. Chris Christie gesturing as he answers a question during a news conference  at the Statehouse in Trenton.  Christie will propose extending the public school calendar and lengthening the school day in a speech he hopes will help him rebound from an apparent political payback scheme orchestrated by key aides. The early front-runner for the 2016 Republican presidential nomination will make a case Tuesday Jan. 14, 2014, that children who spend more time in school graduate better prepared academically, according to excerpts of his State of the State address obtained by The Associated Press. (AP Photo/Mel Evans)

    BRUCE: Bombastic arrogance or humble determination? Chris Christie’s choice

  • ** FILE ** Secretary of State Hillary Rodham testifies on Capitol Hill in Washington, Wednesday, Jan. 23, 2013, before the Senate Foreign Relations Committee hearing on the deadly September attack on the U.S. diplomatic mission in Benghazi, Libya, that killed Ambassador J. Chris Stevens and three other Americans. (AP Photo/Pablo Martinez Monsivais, File)

    PRUDEN: The question to haunt the West

  • Get Breaking Alerts