Congressman Kim Joins Small Business Roundtable at Joint Base, Introduces Legislation to Increase Access to Capital
WASHINGTON DC – Today, Congressman Andy Kim (NJ-03) introduces the Access Business Credit (ABC) Act to ease tax burdens on community banks to encourage increased lending to small businesses.
“As the only New Jersey Congressman on the Small Business Committee, I am proud to work as a partner with our small businesses and to use my role on the Armed Services Committee to push for more opportunities and access to work on and around Joint Base McGuire Dix Lakehurst,” said Congressman Kim. “I’ve heard of dozens of small business owners in Burlington and Ocean Counties who are struggling to access the capital they need to grow and thrive. My bill would expand opportunities for our local entrepreneurs and help create an environment where they can succeed. This would be of great help to many New Jersey businesses, and I hope my colleagues will join me in pushing for the passage of this bill.
Congressman Kim continues to work closely with the small business community to meet their needs. On Oct. 20, he spoke with the Small Business Roundtable and other small business leaders at an industry day at Joint Base McGuire-Dix-Lakehurst. In conversation with local entrepreneurs, the group discussed the need to expand opportunities for small businesses through government contracts and loans.
“Access (or rather lack of access) to capital is perhaps one of the biggest barriers to small business growth,” said Ed Eichen, President of the OAK Group. “Increasing the availability and reducing the cost of small business loans would have an immediate and direct effect on business growth and employment. I want to thank Congressman Kim for bringing this bill to Congress so we can help our small businesses here in New Jersey.
There are more than 13,000 small businesses in New Jersey’s 3rd congressional district alone, employing nearly 125,000 people. The Access Business Credit Act would use the US banking system to encourage small business lending and help increase credit availability and employment opportunities for local entrepreneurs. Small businesses employ about half of the country’s private sector workforce.
To support small businesses, the Access the Business Credit Act would have:
- Amend the Internal Revenue Code so that small community banks can exclude qualified interest received by a lender for small business loans for tax purposes from their gross income.
- Qualifying small business loan banks can deduct two types of interest, if neither type exceeds $5 million.
- Interest incurred in the normal course of business of a small business
- Interest secured by land used or held by a small business in conjunction with agricultural operations
- Qualified lenders could not have more than $50 billion in total assets.
The Access Business Credit Act has been approved by the Chamber of Commerce and the Independent Community Bankers of America (ICBA).
Congressman Kim is a member of the House Small Business Committee. Congressman Kim previously introduced the bipartisan Putting Our Neighbors to Work Actto expand federal contracting opportunities for local workers, the BUILD the Veterans Business Act, and Microcredit Improvement Act of 2021. He also previously voted to pass the Aid to Hard-Hit Restaurants and Other Small Businesses Act and CHIPS and scientific law, freeing up jobs for local manufacturers. More information on Congressman Kim can be found on his website by by clicking here.
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