September 7th, 2010
07:35 AM ET
4 years ago

Obama to introduce another business tax cut

President Obama speaks at a Labor Day event in Milwaukee, Wisconsin, on Monday.
President Obama speaks at a Labor Day event in Milwaukee, Wisconsin, on Monday.

(CNN) – In another move aimed at stabilizing the still-shaky economy, President Barack Obama on Wednesday will introduce a new $200 billion tax cut giving businesses across the country an incentive to buy new equipment in the short term, according to a senior administration official.

The tax cut would allow businesses to write off 100 percent of new investments in plants and equipment made between now and the end of 2011, according to the senior administration official.

The new tax cut will be in addition to a $100 billion permanent extension of the business tax credit for research and development, as well as $50 billion in new infrastructure spending included in a package that the president will officially unveil Wednesday during an economic speech in Cleveland, Ohio.

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Filed under: Economy • issues • President Obama
soundoff (36 Responses)
  1. Snow

    Why cannot this idiot currently occupying the White House learn, no business is going to hire people while they are looking at upcoming tax increases from health care etc and all the uncertainty coming from the liberals/demorats in DC over regulating small and large business's. Also with obummer wanting to put a tax increase on people who make more than 200,000 well that is the majority of small businesses, so why should they hire people with the unknowns. If the Republicans take control of both houses of congress, you will see the economy start to right itself because none of these new taxes and regulations will go into effect. In other words for the mentally challenged liberals, there will be more jobs.

    September 7, 2010 01:45 am at 1:45 am |
  2. barry

    I guess the Potus thinks this will help Democrats in Nov elections. Everybody knows the President is anti-business. People won't be so easily fooled anymore. I think the Summer of Recovery was the last straw for gullibility.

    September 7, 2010 01:51 am at 1:51 am |
  3. Erik in Iowa City

    I don't really care what the President says anymore. I voted for him to get away from Presidents saying things. I just want right action. My wife and I recently got new jobs: She was laid off, and I was not being scheduled to work regularly. We are now both working full time. If Obama can do anything (speech, legislation, whatever) to help that happen for more people, he can "say" whatever he wants. Just make it happen. There are so many of us who just want to work and pay bills and live again.

    September 7, 2010 02:33 am at 2:33 am |
  4. Anonymous

    I believe our President wants what s best for the country. I understand why the country's recovery is slower than expected since Americans are spending less and saving more and for the first time in 80 years we stopped living above our means.
    But giving businesses any incentive for growth is preposterous.
    They will but equipment, maybe even hire a few new employees – for the incentives. But there will be no one buying the goods to prolong the growth and poeple will be laid off almost immediately.
    We need to accpet tht out economy has been based on service, not manufacturing for many years now. Business has left the building.
    Wake up America- the infrastructure and eco issues are or only hope for recovery.

    September 7, 2010 02:46 am at 2:46 am |
  5. Gobama!

    Another win for the President and the Dems.....Thank you, Mr. President. No doubt the republicans will scream and cry and find a way to make 20% of the population think this tax break is "socialism".....GOBAMA!

    September 7, 2010 02:58 am at 2:58 am |
  6. ddt

    The president should give the American people the real truth what happened in 1938. In March 1939 the poll showed that when people were asked whether Government should increasing spending to fight the recession, 63% polled said NO. Asked whether it would be better to increase spending OR to cut business taxes, 63% to 15% favared tax cuts. Believe it or not history is about to repeat itself. Welcome to The Great Depression. Those who were polled then were like those who are polled today, you don't have to guess who they are, you know better. God Bless America

    September 7, 2010 03:52 am at 3:52 am |
  7. jazz92

    I know President Obama gets tired of hearing that all this is his fault. He is doing the best he can with all the lies floating around about him. He Has done a lot to try and keep this economy going. It would have been a lot worse if he had not done the things he has done. Hopefully with this bill to help businesses it will work.

    September 7, 2010 04:11 am at 4:11 am |
  8. jules sand-perkins

    Now we're counting in trillions.
    Are we having more than one, Mr. President?
    People said that King Luwig II was mad. Look what we've got here.
    If President Obama doesn't get this 350 billion dollars, he can blame the Republicans for his inability to fix the economy: he'll say that he knew how to do it, but "they"–his forces–stopped him for political reasons, the capitalist oppressive pigs!
    Well, thank all the gods for the loyal opposition
    Please! Somebody stop him!
    Democrats? Can't the Democrats stop President Obama?

    September 7, 2010 04:22 am at 4:22 am |
  9. Not fooled

    Go President Obama --It's just old dogs that can't learn new tricks. So keep putting stuff out there and something will catch on. Once the rich see that a company is doing well they will be right there to poke their nose in. Don't believe the polls we are setting them up. We are not being loud like them but we will be there. So let them believe...........

    September 7, 2010 04:31 am at 4:31 am |
  10. anthony

    It will be interesting to see Republicans oppose this proposal, as well as his proposals to build infrastructure and to extend the business tax credit for research and development, on the ground that all this spending will lead to higher taxes in the future, while they support the extension of Bush tax cuts for all, including the rich, which will cost the Treasury 3.8 trillion.

    September 7, 2010 04:51 am at 4:51 am |
  11. Hugo

    President Obama is clueless, listening to his campaign speech regarding how the Republican policies drove our economy into the ditch was ludicrous. I would like for President Obama to address how the collapse of the housing market, the actual catalyst of the devastation was the result of the Republican Party. I would like for President Obama to address how the Banking and Finance deregulation under Clinton was the result of the Republican Party. I would like for President Obama to address how NAFTA and the China Trade agreement that sent thousands of jobs overseas, destroyed our National Industrial and Manufacturing base were the results of the Republican Party. From the first infrastructure stimulus jobs where I live, I can tell you that they were non-conducive to producing jobs for anyone other than the same old government favored Contractors with the crews of illegals. Wake up America, do you homework, do not be fooled by the KING OF FOOLS!

    September 7, 2010 08:19 am at 8:19 am |
  12. Clwyd

    But the Party of NO will vote No again, while saying that they are the friends of small business. We actually know that the only ones that they are friends with are the Rich, Big Business, Big Oil and Wall Street! They are a disgusting group of Hypocrites and I can't see how anyone, with any intelligence, could vote for even one republican unless they were brainwashed by FOX or were brain dead?

    September 7, 2010 08:20 am at 8:20 am |
  13. Blutarski

    Hmmmm. . .cutting taxes while trying to pay for two wars. I seem to recall some Democrat pundits blaming Bush for the current economic downturn, by pointing to the Bush tax cuts, which were implemented during two costly wars.

    Cutting taxes for businesses on Wall Street, while Main Street suffers. Sounds like Bush to me.

    September 7, 2010 08:33 am at 8:33 am |
  14. ABM

    Thanks again Mr. President. Once again you prove to us that you are trying to help this country move forward. Let's see what the GNOP and business has to say about this. Keep crying businessmen....keep crying while you sit on hiring while taking bonuses and raking in profits.

    Is Obama anti-business???? NO!!!! He stands for common sense and integrity.

    September 7, 2010 08:34 am at 8:34 am |
  15. Blutarski

    I know this is a bit trivial, but can't this guy wear a coat and tie once in a while? He's the President, not some dock worker stepping out of a bar. No offense intended to dock workers.

    September 7, 2010 08:38 am at 8:38 am |
  16. jim

    CNN recently had an article how a small business can send a job to India for $14 an hour. Sounded pretty good if you're the owner of a small business. But then I hear our wonderful government say that they want to create a bill to help small businesses, so hiring will pick up.....

    Hiring will pick up where – in India???? Why is my tax money going to help small businesses when they, as well as their big brother corporate America, are sending American jobs off shore???

    Small business, Big business and the government could care less about Americans looking for work!!!!!! They just want us to buy their garbage!!!!

    Screw small business! Screw big business! and most important - SCREW OUR GOVERNMENT!!! They are the cause of the despair in America!

    screw america !!!

    September 7, 2010 08:49 am at 8:49 am |
  17. Ric

    EARTH TO OBAMA, EARTH TO OBAMA.... COME IN !!!!

    What does this village idiot not understand? If there is no DEMAND for business products or services, why would any business owner buy new equipment when they have no demand for thier products or services!!??

    This is all smoke and mirrors to manipulate an election that he is bound to lose for his party. The damage is done Obama, and your finished in 2012...

    September 7, 2010 08:51 am at 8:51 am |
  18. strong

    Bend over. Us ordinary working stiffs are going to get stuck with more taxes because of this caper.

    September 7, 2010 09:07 am at 9:07 am |
  19. MontyHale

    I never got my last check I was suppose to get, why should I believe there will be more help.

    September 7, 2010 09:07 am at 9:07 am |
  20. Ancient Texan

    A little stability and sanity from this administration would work wonders, without tax relief for capital expenitures that aren't going to happen anyway until the business man is more confident about the economy.

    September 7, 2010 09:15 am at 9:15 am |
  21. JES

    Why do you keep adding to our debt.

    We will never get out of debt.

    If you would balance the budget and stop all this wild spending that just creates more debt we would be much better off.

    Make government smaller like you said you would and ge some help.

    The people you have now don't have a clue either.

    September 7, 2010 09:16 am at 9:16 am |
  22. jim

    Why didn't he recomend doing this 18 months ago if this was so important?

    September 7, 2010 09:38 am at 9:38 am |
  23. dont care what you Demoncrates say

    once again another obama smoke screen and another obama to little to late to save us that are already lost in debt,

    September 7, 2010 09:39 am at 9:39 am |
  24. diridi

    It is not what small business does to this nation, it is "Manufacturing" sector...and R & D that benefit...ask three big Auto companies to make more fuel efficient cars, with cheap price, with solid warranty...I shall buy American car...pass energy and climate reform, and immigration reform....okay...

    September 7, 2010 09:40 am at 9:40 am |
  25. Chessnutz of Liverpool NY

    Woo Hoo! Another bailout! Just what we need because the past eight bailouts have worked sooooooooooooooo well. So well in fact the nation sits less than one year away of bankruptcy.

    September 7, 2010 09:45 am at 9:45 am |
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