U.S. Sen. Cory Gardner’s (R-CO) newly introduced Small Business Start-up Savings Account Act would help Americans start or expand a small business.
If enacted, the bipartisan S. 3136, which Sen. Gardner sponsored on Dec. 19, 2019 with bill cosponsor U.S. Sen. Gary Peters (D-MI), would amend the Internal Revenue Code of 1986 to establish tax-deductible small business start-up savings accounts, according to the text of the bill.
“A frequent concern I hear from small business owners on my Main Street Walking Tours across the four corners of Colorado is how tough it is to start a new business,” Sen. Gardner said. “It is my hope that being able to set up a small business savings account will at least make it a little bit easier for entrepreneurs and small business owners to save money and build their company.”
Almost 22 percent of the roughly 30 million small businesses in the United States finance expansions or start-ups via personal and family savings, according to the Small Business Administration.
If enacted, S. 3136 would provide small business owners with a new tax-deductible financing option to grow or start a new business, according to Sen. Gardner’s office.
“Having grown up in a family-owned business, I’ve seen firsthand how difficult it can be to run a small business, make payroll, build capital, and comply with a complex regulatory system,” said Sen. Gardner.
Sen. Peters urged the U.S. Senate “to advance this commonsense bill that would help address a challenge many of our Michigan entrepreneurs and small businesses face.”
The bill has garnered the support of the National Federation of Independent Business (NFIB), which said the bill would encourage economic growth.
“NFIB looks forward to working with Senators Gardner and Peters to advance this legislation and provide permanent tax relief for our country’s job creators,” said Kevin Kuhlman, NFIB’s senior director of federal government relations.