Senate Republicans’ Tax Breaks Not Just for Small Businesses (millions into the pockets of large cor

[Omaha Steve]

http://blog.aflcio.org/2007/03/08/senate-republicans%e2%80%99-tax-breaks-not-just-for-small-businesses/

Senate Republicans’ Tax Breaks Not Just for Small Businesses

by James Parks, Mar 8, 2007

Senate Republicans said they added tax breaks to the minimum wage legislation to help small businesses. But now the nonpartisan Congressional Research Service (CRS) reports the billions in tax breaks are not limited to small companies. At least two of the tax breaks could put millions into the pockets of large corporations as well.

In recent weeks, the House and Senate each passed a minimum wage bill to increase the current $5.15 an hour rate to $7.25, the first increase in a decade.

The House passed a clean bill—no tax breaks or corporate giveaway, just a long-overdue raise for millions of hard-working people. Senate Republicans rejected the clean House bill and insisted on adding an $8.3 billion package of “small business” tax breaks and incentives—even though companies have received some $300 billion in tax breaks since minimum wage workers last got a raise.

The CRS reports that two of the Senate’s provisions include tax preferences that could benefit firms of all sizes, including:

*
Extending a 15-year cost-recovery period for restaurant and retail property improvements through March 2008. This credit would benefit major national restaurant chains and retail stores that make improvements to their property as well as the mom-and-pop corner diner.
*
Extending the work opportunity tax credit of up to $8,500 for each person in certain target groups—such as welfare recipients, ex-felons and high-risk youths—that a company hires.

CRS did not estimate how much big businesses could benefit from these breaks.

[rurallib]

1. Surprise? No