Connect with us

Hi, what are you looking for?

Economy

NFIB: Alabama small business would lose millions without COVID tax deduction

Small businesses should be able to deduct forgiven expenses paid for with federal PPP loans on state income taxes, the NFIB says.

STOCK

NFIB State Director Rosemary Elebash said small business owners are urging the House Ways and Means-Education Committee to pass legislation that would let them deduct forgiven expenses paid for with federal Paycheck Protection Program loans on their state income taxes.

โ€œThe federal COVID-19 recovery act signed into law in December said employers can deduct these expenses on their federal income taxes,โ€ Elebash said. โ€œIf the legislature lets small businesses deduct these same expenses on their state income taxes, itโ€™ll save employers millions of dollars and go a long way toward helping them recover from the economic downturn brought about by the pandemic.โ€

One in four small businesses nationwide surveyed by the NFIB Research Center in December said they were afraid theyโ€™d have to close their doors within six months unless economic conditions improve soon, according to Elebash

โ€œA โ€˜yesโ€™ vote on this legislation would ease some of the financial pressure on small businesses and help them get through this crisis and keep people employed,โ€ Elebash said.

The Alabama Political Reporter is a daily political news site devoted to Alabama politics. We provide accurate, reliable coverage of policy, elections and government.

More from APR

Opinion

In this โ€œEgg-conomyโ€, we need government to be part of the solution, not the problem.

Legislature

These measures would save Alabamians approximately $314.6 million annually.

Legislature

HB367 by Republican Rep. Mack Butler would prohibit governmental entities from spending public funds to promote the use of vaccines to the public.

Opinion

Community banks are more than your typical financial institution; they are trusted mainstays of the areas they serve.