Digital News Report – President Barack Obama proposed a set of tax credits and spending increases to stimulate job growth this week.
“The purpose of the American Jobs Act is simple: to put more people back to work and more money in the pockets of those who are working”, the President told a joint session of Congress Thursday night. “Pass this jobs bill — pass this jobs bill, and starting tomorrow, small businesses will get a tax cut if they hire new workers or if they raise workers’ wages.”
The American Jobs Act will provide tax credits to companies who hire new employees. The credit is for small businesses, not large corporations. It will also cut the payroll tax in half, saving the average family $1,500 a year.
The proposal, which includes nearly $450 billion in tax cuts and spending increases, will provide funds to states and local governments to keep teachers, police officers and firefighters on the payroll.
There is money set aside for infrastructure improvements, like building roads, bridges and schools.
Not everyone is onboard. Presidential Candidate Michelle Bachman called the speech a political ploy. “Tonight the President under the veil of one of the most sacred deliberative forums, a joint session of Congress, delivered another political speech where he doubled down on more of the same policies that are killing the economy”, Bachman said in Response.
By: Tim Edwards
Business Reporter