Create…Expand…Attract
ATLANTA— Today State Representative Tom Graves (R-Ranger) announced that Georgia is open for business with the introduction of the Jobs, Opportunity, and Business Success Act of 2010 (JOBS Act of 2010). This legislation is designed to stimulate the state’s economy by providing tax credits, cuts and incentives to create, expand and attract new businesses in Georgia.
“The greatest stimulus for a robust economy comes from an economic environment that encourages opportunity, productivity and innovation,” said Representative Graves. “The hard-working people of Georgia – not big government – are the key to our economic prosperity. If consumers and investors have confidence in the economic environment, then personal spending, investing and job creation will occur. The JOBS Act of 2010 does just that and there is nothing more important for this legislature to focus on than creating jobs and opportunities for our communities.”
The latest JOBS Act is a continuation of Graves’ efforts in the Georgia General Assembly to advance conservative, free-market solutions that empower the private sector and drive Georgia’s economic recovery. Support for Graves’ legislation was noted by the large presence of both House and Senate members at today’s announcement.
“Our goal should be nothing less than making Georgia the most job friendly and investor friendly state in America,” said Senate Majority Leader Chip Rogers (R-Woodstock). “This legislation should be like a bright neon sign, telling the world Georgia is open for business and open for investment. These difficult economic times call for bold action. Giving Georgia entrepreneurs the freedom they need to do business will be the key to a prosperous Georgia with good high paying jobs.”
Graves’ JOBS Act of 2010 contains seven initiatives that are designed to spur job creation in Georgia and recognize the private sector, not government, as the driving economic force to recovery.
The act is comprised of two pieces of legislation, House Bill 1023 and House Bill 1024.
House Bill 1023 contains:
• Creation of the “Year for Georgia Entrepreneurs”: Allowing Georgians the opportunity to start a new business with no state fees could remove the only hurdle many entrepreneurs need to begin.
• “Angel Investor” Tax Credit: An income tax credit of up to 50% of an investment made in small or start up Georgia businesses with 20 or fewer employees. The income tax credits would be available after 2 years of investment. The total “Angel Investor” tax credit pool would be limited to $10 Million per year (adjusted for inflation).
• Quarterly Credit Towards Unemployment Insurance Tax: For each eligible employee hired who is receiving State Unemployment benefits, a company will receive a quarterly credit towards their unemployment tax.
• $2,400 Tax Credit for the Hiring of the Most Difficult to Employ: Any Georgia company which hires a person who is difficult to employ and is currently receiving unemployment benefits and has been unemployed for at least four weeks, shall receive a tax credit of $2,400 after 24 months of consecutive employment.
• Elimination of the Net Worth Tax: The net worth or intangible tax is a hold over from a 1930’s law that taxes wealth accumulation. The Tax Foundation advocates the elimination of this tax as we are only 1 of a handful of states that still retain it.
• A Triggered 50 Percent Reduction of the Capital Gains Tax for all Georgia Taxpayers: Georgia currently has the 15th highest Capital Gains tax in the country and the 2nd highest in the Southeast, with two of our neighboring states at 0%.
House Bill 1024 contains:
• Gradual Phase out of the Sales Tax Deposit on Small Businesses:
Phases out an outdated tax deposit that is required for Georgia Businesses. Once implemented, this will return nearly $200 million of working capital to Georgia’s small business that is held on deposit with the state.
In addition, Representative Graves has been asked to join with the Governor and his Floor Leader Representative Matt Ramsey in passing expanded options for the purchase of individual health insurance. Governor Perdue recently announced his intention to push for legislation to allow the purchase of individual health insurance plans across state lines. This legislation would allow Georgians to have additional options for health coverage – options that can be more tailored to the particular needs of each citizen and their family. This encourages entrepreneurship by making insurance more affordable to sole proprietors, small businesses and start ups. As Washington continues to move forward with wide ranging mandates on individuals, it is critical that Georgians have more flexibility in choosing their health plans.
Last year, Graves introduced and lead the passage of the Jobs, Opportunity, and Business Act of 2009 (JOBS 2009) that achieved broad bi-partisan support from both chambers of the Georgia General Assembly. Many Georgia business, economic and community organizations supported the legislation, including National Federation of Independent Business, the Georgia Chamber of Commerce, American Legislative Exchange Council, the Georgia Retailers Association, Americans for Prosperity, Americans for Tax Reform, and Freedom Works. House Bill 482, part of JOBS 2009, became law upon the Governor’s signature in 2009, exempting Georgia businesses from the state inventory ad valorem tax.
**Editor’s Note: Two pictures of Representative Tom Graves and Senator Chip Rogers from today’s press conference have been attached for your convenience.**
Graves, who is in his fourth term representing House District 12, was first elected to the Georgia House of Representatives in 2002. He has chaired numerous subcommittees, served in several leadership positions and been recognized statewide as a conservative leader. He received a 2009 “National Legislator of the Year” from the American Legislative Exchange Council, a 2009 “Guardian of Small Business” Award from the National Federation of Independent Business, the 2009 “Legislator of the Year” Award from the Georgia Retail Association, the 2009 “Legislator of the Year” from the 9th Congressional District of Georgia and was nationally recognized as the “Legislative Entrepreneur of the Year Award” by the Freedom Works Foundation for his tireless effort to stem the tide of expansive government and reduce the tax burden on Georgians. Georgia Trend’s named Graves to its “40 under 40, Georgia’s Best and the Brightest.”
Graves grew up in White, Georgia and graduated from the University of Georgia, where he earned a Bachelors of Business Administration in Finance. Graves is a small businessman, past member of the Gordon County Board of Elections and an active member of the Gordon County Chamber of Commerce. He is married to Julie, a native of Marietta, and the couple has three children, JoAnn, John and Janey. They attend the Belmont Baptist Church in Calhoun.
Sen. Chip Rogers serves as Senate Majority Leader. He represents the 21st Senate District which includes portions of Cherokee and Cobb counties. He can be reached at his office at 404.463.1378 or by email at chip.rogers@senate.ga.gov.
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