WASHINGTON — Sen. John Thune (R-S.D.) introduced an amendment last week to a tax extender bill currently before the Senate that would create and expand small-business tax incentives. The incentives are targeted at helping small businesses invest in new capital and hire workers.

Sen. Thune has proposed redirecting unspent portions of last year’s $862 billion stimulus bill to fully pay for the proposals in his amendment, which is endorsed by the National Federation of Independent Business (NFIB).

“Small businesses are the economic engines that drive job growth, both in South Dakota and across the country,” Sen. Thune says.

The amendment would create new incentives for small businesses to more easily pay off large expenditures for manufacturing equipment and other physical capital. The amendment would also eliminate capital gains taxes on small-business investments, and it allows for a 20% deduction for small-business income.