Dahlonega-Lumpkin County Chamber of Commerce

Dear Friends,

This week, the Senate began debate on legislation to extend a number of individual and business tax breaks that expired on December 31, 2009. H.R.4213, the Tax Extenders Bill, would reinstate the provisions retroactively and extend them through the end of 2010.

I am still reviewing the legislation, but I was disappointed in the Senate’s rejection of an amendment that I co-sponsored that would have created and expanded a number of tax incentives designed to help small businesses create jobs. The amendment was defeated by a vote of 38-61.

The amendment, which was offered by Senator John Thune (R-SD), would have redirected unused stimulus funds to pay for several small business tax incentives, including a provision that would have allowed small businesses to pay off large expenditures for manufacturing equipment and other physical capital more easily.

The amendment also would have eliminated capital gains taxes on small business investments and provided a 20 percent deduction for small business income.

This commonsense approach sought to help the people and small businesses that make up the heart of the American economy. Having run my own small business for over 30 years, I recognize the tremendous impact that federal policy can have on American business owners. It is important we enact policies that strengthen and stabilize our economy.

Unemployment Benefits

The Department of Defense Appropriations bill, which was signed by President Obama on Dec. 19, 2009, extended unemployment benefits, including increased payouts and longer duration of benefits, through February 28, 2010. It also extended the 65 percent COBRA health insurance subsidy for individuals who have lost their jobs to February 28, 2010.

Last week, Senator Jim Bunning (R-KY) blocked passage of legislation that would have temporarily extended a range of federal programs set to expire on February 28, including unemployment benefits and the COBRA health insurance subsidy, until April 5, 2010. Senator Bunning refused to allow consideration of the measure by objecting every time leadership attempted to bring up the bill.

This week, Senator Bunning reached an agreement with leadership to proceed to the bill, and the Senate approved the legislation, which included a temporarily extension of unemployment benefits and the COBRA health insurance subsidy.

I support extending unemployment benefits at a time when so many unemployed Americans are struggling.

Death Tax
The estate tax, also known as the "death tax," expired on December 31, 2009, but is scheduled to be reinstated in 2011 at an even higher rate. Last year, the House passed legislation that would have permanently extended the death tax at 2009 levels but Senate Republicans successfully blocked that legislation from being voted on in the Senate. Democratic Leader Harry Reid (D-NV) has vowed to try to restore the death tax retroactively.

I believe the estate tax stifles investment and discourages families, small businesses and all taxpayers from building their savings. Repealing the estate tax is essential and I support a full and permanent repeal. A full repeal of the estate tax will let hard-working taxpayers pass along their savings to their children and grandchildren tax-free. I believe that’s good for families and small businesses, and it’s good for our economy.

It is my hope Senate leadership reaches an agreement to address the estate tax in the near future.

Upcoming Homebuyer Forum
On Tuesday, March 9, 2010, my office will host a Homebuyer Forum in Augusta. The workshop will be held at the Greater Augusta Association of Realtors classroom, 1214 Roy Road, Augusta, Ga., from 6 p.m. until 8 p.m.

This event will feature tips and information on the home-buying process. The workshop is an opportunity to hear from professionals on best practices for homebuyers, federal tax incentives and general information on the home purchasing process.

I am honored to be able to offer this excellent opportunity to homebuyers from across Georgia. As a Realtor myself for many years, I know that information is power in home buying and negotiating.  I encourage anyone interested in meeting with professionals in the field to participate.
Presenting organizations will include the Internal Revenue Service, U.S. Department of Housing and Urban Development, Georgia Department of Community Affairs, U.S. Department of Veterans Affairs and the Mortgage Bankers Association of Georgia.

All persons who are interested in attending must make a reservation online at This e-mail address is being protected from spambots. You need JavaScript enabled to view it or by contacting my office at (770) 661-0999. All persons who wish to attend must do so by the registration deadline on Monday, March 8, 2010, at noon.

What’s on Tap?

Next week, the Senate will continue consideration of the tax extenders bill.

Sincerely,

Johnny Isakson