Obama’s Proposed Jobs Tax Credit Not Seen by Businesses as Strong Incentive to Hire
Many business owners don’t see President Obama’s proposed new job tax credit as a suitable prompt to begin hiring again. As reported in The Wall Street Journal, even an anticipated credit of $3,000 would do little to cover the cost of salary and benefits:
Mr. Pinchuk said customers of Snap-On, of Kenosha, Wis., indicate they are holding off expanding until the economic and legislative picture in Washington “becomes more certain.” Mr. Obama’s proposal “will not address the uncertainty issue,” he added.
Mr. Obama didn’t put a price tag on his plan to spur job creation amid a U.S. unemployment rate of 10%. The tax credit is one part of the plan, along with infrastructure spending and other big-ticket items…. Small businesses are responsible for at least 60% of new jobs created, the Small Business Administration says.
It isn’t certain that Congress will include the tax credit in its legislation. The credit has supporters in the Senate, but the House seems much less likely to take it up.
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