Vice President Kamala Harris proposed a significant expansion of tax incentives for small businesses during a campaign stop in New Hampshire on Wednesday. The Democratic presidential nominee introduced a plan to increase the small business tax credit from $5,000 to $50,000, aiming to spur entrepreneurship across the country. The proposal is part of a broader economic agenda that underscores Harris's commitment to supporting small businesses, which she described as "an essential foundation to our entire economy."
Speaking at the Throwback Brewery in North Hampton, Harris emphasized her goal of facilitating the creation of 25 million new small business applications within her first term-a substantial increase from the record 19 million filed under the Biden-Harris administration. "As President, one of my highest priorities will be to strengthen America's small businesses," Harris stated. "We're going to help more small businesses and innovators get off the ground."
Harris's plan also includes a suite of measures designed to ease the regulatory burden on entrepreneurs. She promised to streamline the tax-filing process, develop a standard deduction for small businesses, and incentivize state and local governments to reduce red tape. "We will make it cheaper and easier for small businesses to file their taxes," Harris said, adding that these efforts would help remove bureaucratic obstacles that often hinder business growth.
In a notable departure from President Biden's policy, Harris proposed a smaller increase in the capital gains tax rate for those earning over $1 million. While Biden's FY2025 budget proposal called for raising the rate to 39.6%, Harris suggested a 28% rate, up from the current 23.8%. She argued that encouraging investment through a more moderate tax increase would lead to broad-based economic growth and job creation.
The timing of Harris's announcement is critical, as it comes just two months before the end of the election. Her visit to New Hampshire is part of a broader effort to strengthen her economic platform and appeal to voters who prioritize business-friendly policies. "You're not only leaders in business. You're civic leaders," Harris told the crowd at Throwback Brewery, highlighting the vital role small businesses play in their communities.
Harris also made an unscheduled stop at Port City Pretzels, a women-owned small business that has expanded significantly since its founding in 2015. Co-owner Suzanne Foley expressed her gratitude for Harris's visit, which provided an opportunity to showcase the company's growth and success. The vice president's engagement with small business owners like Foley is a key component of her campaign strategy, aiming to connect with entrepreneurs on a personal level.
However, Harris's proposals have not been without criticism. The campaign of former President Donald Trump, the Republican nominee, dismissed her plan, noting her previous calls for higher taxes on wealthy Americans and corporations. Trump's campaign highlighted the tax cuts enacted during his administration, which are set to expire next year, and questioned Harris's commitment to supporting small businesses.
Before delving into her small business agenda, Harris addressed the recent school shooting in Georgia, expressing her outrage and calling for action to prevent such tragedies. "It's just outrageous that every day, in our country, in the United States of America, parents have to send their children to school worried about whether or not their child will come home alive," she said.
