Granite State Taxpayers (GST) applauds the Senate Finance Committee for approving reductions to the Business Enterprise Tax [BET] and Business Profits Tax [BPT] for the Fiscal Year 2018-19 budget.
The BET would be lowered to .60 percent in 2019 and then .50 percent in 2021 while the BPT in 2019 would be at 7.7 percent and in 2021 decrease to 7.5 percent.
Senate Finance Chair Gary Daniels (R-Milford) stated: “I am pleased that the Senate Finance Committee adopted additional tax cuts for small businesses and job creators in our state. Two years ago, after cutting business taxes for the first time in over 20 years, we saw a dramatic uptick in job creation and businesses continue to grow and expand, improving our state’s economy to this day.”
“The business cuts in the last budget have proven beneficial for our state’s small business community, yet, in order to remain competitive with other states we need to continue lowering business taxes and creating a strong environment for job creation,” said Senator Bob Giuda (R-Warren).
The committee also authorized raising to $500,000 the tax deduction for capital purchases (Section 179 Deduction), bringing New Hampshire in line with the Federal guidelines.
“Allowing growing businesses to make deductions on capital investments up to $500,000 will provide greater incentive to grow and expand in New Hampshire, creating even more good jobs for graduates and those raising families in our state,” said Senator John Reagan (R-Deerfield).
“We always support reductions in taxes, just like Milton Friedman” said GST Chairman Ray Chadwick.
Friedman said “I am in favor of cutting taxes under any circumstances and for any excuse, for any reason, whenever it’s possible. The reason I am is because I believe the big problem is not taxes, the big problem is spending. The question is, “How do you hold down government spending?” The only effective way I think to hold it down, is to hold down the amount of income the government has. The way to do that is to cut taxes.”