Harris to Unveil Small Business Plan in Speech in New Hampshire

Vice President Kamala Harris is set to announce a proposal aimed at providing tax relief for startups on Wednesday, a move designed to assist entrepreneurs with the financial burdens of launching a small business.

During her visit to New Hampshire, Harris will advocate for an increase in the small business tax deduction from the current $5,000 to $50,000 for newly established companies. This information comes from an adviser associated with her campaign.

While details regarding funding for this proposal remain undisclosed, the campaign notes that the increased deduction is intended to cover the average startup costs, which typically reach around $40,000. Business owners would have the option to defer claiming all or part of this deduction until their businesses become profitable, thereby alleviating their tax responsibilities.

In addition to the tax deduction, Harris will propose establishing a small business expansion fund aimed at assisting community banks and Community Development Financial Institutions. This fund would help offset interest rates and provide incentives for these financial institutions to invest in underserved communities.

Some elements of Harris’ small business strategy will require approval from Congress, while other aspects reflect her goals. These include a target of 25 million new small business applications within a four-year timeframe and an intention to enhance contract opportunities for small businesses located in rural and underserved areas.

Among her broader initiatives, Harris is committed to creating a standardized deduction for small businesses and plans to tackle barriers related to occupational licensing, facilitating an easier process for businesses to operate across state lines.

Harris has been positioning herself as a centrist candidate in contrast to Republican nominee Donald Trump, who claims she would govern with a liberal agenda. In previous economic discussions, Harris has outlined other proposals, such as banning price gouging on essential goods, capping out-of-pocket insulin costs at $35 per month, providing a $6,000 tax benefit to new parents, and offering first-time homebuyers a $25,000 credit.

Several of her recent proposals align with traditional conservative economic policies. According to her campaign, Harris is exploring opportunities to encourage state and local governments to streamline their regulatory processes and minimize bureaucratic hurdles.

As she moves forward with these initiatives, the focus remains on supporting small businesses, which are vital to the American economy, particularly in terms of job creation and innovation.