WASHINGTON, D.C., March 21, 2012 — The Independent Insurance Agents & Brokers of America (IIABA or the Big “I”) today commended U.S. House of Representatives Majority Leader Eric Cantor (R-Va.) for introducing legislation, H.R. 9, the “Small Business Tax Cut Act of 2012,” that would provide qualified small businesses with a new tax deduction.
“The Big ‘I’ supports H.R. 9 and is pleased to see legislation that would encourage small business job growth,” says Charles E. Symington, Big “I” senior vice president of government affairs. “If signed into law, the bill promises to be beneficial for thousands of Big ‘I’ members and their small business clients. We thank Majority Leader Cantor for taking a pro-active role in supporting America’s small business community.”
H.R. 9 would allow businesses with fewer than 500 employees to deduct up to 20% of their income taxes, regardless of whether the business files under the individual or corporate tax code. Also, the bill would cap the deduction at 50% of wages paid to employees. H.R. 9 is expected to be brought to the House floor before April 16, in order to coincide with tax filing season.
“This bill would put capital back in the pockets of job creators, encouraging them to expand their businesses as well as retain and hire new employees,” says Ryan Young, Big “I” senior director of federal government affairs. “In these times of economic uncertainty, H.R. 9 would provide a much-needed boost to our small business membership.” Founded in 1896, the Big “I” is the nation’s oldest and largest national association of independent insurance agents and brokers, representing a network of approximately a quarter of a million agents, brokers and their employees nationally. Its members are businesses that offer customers a choice of policies from a variety of insurance companies. Independent agents and brokers offer all lines of insurance—property, casualty, life, health, employee benefit plans and retirement products. Web address: www.independentagent.com.