Reiterates goals of his ESE Plan for Business Tax Reform
Manchester, NH – Ovide Lamontagne, candidate for Governor, today extended a provision of his ESE plan for business tax reform to allow for a five-year tax holiday on the business enterprise tax (BET) for new production and manufacturing jobs.
Under the original release of his ESE plan, which stands for “Encourage, Simplify, and Enhance,” Lamontagne proposed a tax credit on the BET for all new workers hired at a manufacturing or production job. Today, Lamontagne clarified that credit would be allowable for up to five years.
“The extension of the production jobs credit portion of my ESE plan would essentially give businesses a five-year tax holiday on that cost related to a new worker, and it removes any tax-disincentive against hiring a new employee,” said Lamontagne.
Other provisions included in the ESE plan call for an increase in the filing thresholds for the BET and business profits tax (BPT) to $200,000, as well as allowing for an unlimited carry forward of the BET credit. During her time in the Senate, Lamontagne’s opponent Maggie Hassan, voted against a similar tax package designed to aid new and small New Hampshire businesses (SB496, 2010).
“My plan also calls for simplifying and making permanent the R&D tax credit and adopting simplified rules for how we tax businesses with out of state sales,” said Lamontagne, “these are two important signals to high-tech and high-production companies looking to relocate and bring good, high paying jobs to New Hampshire.”
Finally, Lamontagne’s ESE plan calls for raising the safe-harbor threshold for LLCs to $80,000 before an owner can be asked to justify compensation.
“Sen. Hassan is well known for enacting an income tax on the state’s LLC’s, typically our smallest small businesses,” said Lamontagne, “that wasn’t right, but it was unfortunately part of the tax and spend mindset that Sen. Hassan brought with her to office. Under my plan, small business owners will be allowed to pay themselves a fair salary, one that reflects the time, talent and hard work they put in to their business, before being asked to justify how they make a living to a DRA bureaucrat.”
The full text of Lamontagne’s ESE plan can be found at www.Ovide2012.com.