U.S. Sen. Tammy Baldwin on Tuesday joined Sen. Jacky Rosen and Sen. Jeanne Shaheen to introduce the Tax Relief for New Businesses Act, legislation to provide a tax break to entrepreneurs looking to start a small business and reduce barriers for startups. The bill would increase the startup tax deduction to $50,000 and allow businesses to write off more expenses to compensate for the increasing cost of starting a business.
Currently, small business owners can only deduct up to $5,000 in startup costs in the first year, yet a recent survey found that they spend an average of $40,000 to get their businesses off the ground.
In addition to Baldwin, Rosen and Shaheen, the Tax Relief for New Businesses Act is co-sponsored by Sens. Chris Coons, Elissa Slotkin, Ron Wyden, Richard Blumenthal, Ruben Gallego, Amy Klobuchar and Martin Heinrich.
