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President Barack Obama unveiled a $730 million small-business stimulus package on March 16. Banks receiving federal bailout money must increase lending to small businesses to help make payroll, purchase equipment and maintain (or expand) employment levels.
The plan also includes several new pro-business Internal Revenue Service (IRS) rules for temporary tax breaks. Businesses earning up to $15 million may claim losses for the past five years this tax year. Businesses may write off up to $250,000 in investments this year; estimated tax payments will be reduced up to 90% over the previous year's filing. Businesses may deduct for greater depreciation within the first year of property purchases and exclude up to 75% of capital gains small business investors.
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