A bill to allow entrepreneurs a one-time income tax deferment was introduced in the House of Representatives by Representative Patrick Kennedy (D-R.I.) on May 19th.
Formally known as the Generating Reinvestment Opportunities with America’s Small Businesses Act of 2009 or H.R. 2490, the GROW Act would allow entrepreneurs to defer their current income taxes for two years so they can invest more in their small businesses.
Rep. Kennedy characterized his proposal as “interest-free, short-term loans” that “would strengthen small businesses at a minimal cost to the federal government.”
The GROW Act allows deferred taxes to go unpaid for two years. Repayment would be spread out in equal installments for four years thereafter.
Read more about the bill at this Daily Dose blog post and on Rep. Kennedy’s website.
And check back with the online incorporation blog Incorporation-e.com again for updates on the progression of this bill through Congress.