Harris To Seek Huge Expansion Of Startup Tax Deduction To Help Small Businesses

The vice president will set a target of creating 25 million new small businesses by the end of her first term, according to a campaign official.

Vice President Kamala Harris will propose a massive expansion of a key tax break Wednesday as part of a plan to see 25 million new small businesses created by the end of her term if she wins the White House, according to a campaign official.

The plan is to be publicly proposed at a speech in New Hampshire on Wednesday, the official said. The official declined to be identified in order to freely share details of the plan before its formal debut.

The centerpiece of the plan would be a 10-fold increase in the value of the tax deduction small business owners can take for their startup expenses. Under the plan, the deduction would rise from $5,000 currently to $50,000.

The average cost to start a new business is about $40,000, according to Shopify.

The proposal would be a further detailing of Harris’ signature pledge to build an “opportunity economy” that would make it easier for people to own a home, start a business and build wealth. That message is meant to blunt criticism that her policies would hurt the economy, as her opponent, former president Donald Trump, claims.