Local Politics

Perdue wants tax breaks, support for small business

Posted April 9, 2010

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— Gov. Beverly Perdue on Friday unveiled a package of tax breaks and other support for small businesses in North Carolina that she says will boost the state economy.

“Small businesses are the backbone of North Carolina’s economy and a major driver in our economic recovery,” Perdue said in a statement. “They put our friends, neighbors and family members to work. They anchor our communities. Supporting small businesses means supporting jobs for North Carolinians.”

The JobsNOW Small Business Package, which must be approved by state lawmakers before taking effect, includes tax incentives, grants and an expansion of the small business preference for companies seeking contracts with state government.

The tax incentives include giving small-business owners a tax credit of $250 per employee for providing health insurance to employees making less $45,000, treating capital gains taxes favorably for entrepreneurs, expanding the state's Qualified Business Venture Tax Credit and giving small businesses a tax break on equipment purchases.

Perdue also wants to reserve state construction projects under $500,000 for small businesses and allow state agencies to weigh bids submitted by small businesses at 95 percent of the bid price to give them a better chance of winning a larger contract.

Officials didn't provide details as to what businesses would qualify for the special provisions, other than note the health insurance tax credit applies to firms of 45 or fewer employees.

Support for small businesses could be boosted, Perdue said, by restoring funding to the statewide Small Business Assistance Network within the state’s 58 community colleges, using Web-based buyer-supplier networks so North Carolina businesses can buy and sell to each other, providing matching state grants to businesses seeking federal Small Business Innovation Research or Small Business Technology Transfer contracts, expanding promotion of North Carolina as a tourist destination and providing assistance to family farms to improve energy efficiency, develop new markets and cultivate new value-added products.


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  • Ready2Taxi Apr 9, 2010

    "The tax incentives include giving small-business owners a tax credit of $250 per employee for providing health insurance to employees making less $45,000..."

    This is like a split in the ocean.

  • mep Apr 9, 2010

    Tax breaks are what Republicans say will help the economy. Perhaps she forgot which party she belongs to? No she hasn't forgotten, cause she is not making REAL tax cuts that will actually make a difference. Nice try though.

  • jas1022 Apr 9, 2010

    Isn't this opposite of what the health care bill would do to small businesses? These libs talk out one mouth and then out of the other.

  • colliedave Apr 9, 2010

    The tax incentives include giving small-business owners a tax credit of $250 per employee for providing health insurance to employees making less $45,000,

    As has ben posted, this credit would cover less than one individual's monthlt premium. Any sane business man would simply pay the $700 yearly federal penalty and force that individual to purchase his own policy. He would keep staffing at the minimum needed to operate. With the combination of Obummer's and Bev's policies we will soon see the real unemloyment figures hit 20%.

  • mrw1965 Apr 9, 2010

    This does absolutely nothing for small business. How about grants, tax breaks, etc. for all of those on unemployment that are having to resort to starting a business as a way to get back to work. Kinda forgot about the unemployed, didn't you Bev!

  • are you kidding me Apr 9, 2010

    Want business Perdue, all corporations are not taxed. Do that, business will explode!

  • ranquick Apr 9, 2010

    The talking heads never ever want to give a tax cut to anyone thta it thinks will not help them out. I tax cut for all would premote more spending form the public than anything. I am not Dem or Rep, but I can tell you onething if you are in office now you might not get my vote during the upcoming elections because you have done what the middle class Americans want and need, just taxed us more and more and more!

  • jgriffith3792 Apr 9, 2010

    Laughable. This is political fodder so that when she comes up for election she can point to her "helping small" business. What a joke.

  • ThinkChick Apr 9, 2010

    we have tried to work with the immense State red tape. This sounds like more of the same.

    The tax credit for health insurance doesn't cover a single month's policy payment.

    Banks are still too skittish to loan anything.

    Cut taxes for EVERYONE and then there will be a recovery. More disposable income, more spending, more confidence.

  • chfdcpt Apr 9, 2010

    Must be an extension of the SyFy channel. Because I sure as el carajo not seen any type of tax break from NC in the last 33 years.

    Sorry, there was a one time $25.00 child credit that Tax Easley gave us a few years ago.