Alison Couch, Columbia County District 4 commissioner, is working with a lobbyist group to make changes to laws that will benefit small businesses.
The group she is working with is the National Federation of Independent Business (NFIB), which lobbies at the state and federal level for small businesses. Couch was given the opportunity to testify at the state level before the Small Business Administration Committee about raising the business tangible personal property tax exemption amount.
“Basically, how that works is, as a business owner, when you purchase tables and chairs and computers, things that aren’t tagged, like vehicles and not the building because you pay property tax on those two things separately,” Couch said. “So, you pay, of course sales tax when you purchase desks, chairs and computers, but then each year you pay tangible personal property tax on those assets as well. That goes to the county; however, that is legislated at the state level.”
The current exemption amount is $7,500, which Couch said means that if the assets are $7,500 or less, then taxes don’t have to be paid on it. However, with inflation, the costs of items have gone up, but the exemption amount has stayed the same.
“I am lobbying, and went and testified before that committee in order to increase that amount from $7,500, my hope was $25,000,” Couch said. “So that truly helps mom and pop [shops]. Of course big corporations, they’re going to have way more than $25,000 in assets. So, this really helps the true small business owners in your community.”
Georgia Rep. Mike Cheokas proposed a $50,000 exemption in House Bill 808, Couch said.
“The bill was introduced at the end of last session,” Couch said. “They had a really long list of people that have signed on to the bill, which is very good sign, but they will try to push that through on this next session, get the votes for it.”
Couch also testified before the federal Ways and Means Committee, which she said flew from Washington D.C. to Peachtree City, Ga. The committee heard from multiple business owners, and she herself spoke on several topics. But one that is very important to her is the 1099 exemption and its $600 amount.
“That $600 has not been changed since. I think it’s been over 50 years, since the 1970s,” Couch said. “So, if they were to adjust that amount for inflation from the 70s to now, it would be a much higher exemption amount. I lobbied for there to be a one-time adjustment to bring it up to current rate, if you will, and then adjust for inflation each year. In other tax situations, exemptions and deductions, the IRS updates that every year. You get an exemption for married filing jointly, for dependents and they increase that every year. This amount hasn’t been increased since the 70s.”
Couch added she is watching that bill closely as well, because it would affect small businesses throughout the nation.
“Both are very exciting and would be very helpful for true small business owners,” Couch said. “The big corporations, they’re great and they’re needed to some extent, but small business is the backbone, I feel like, of America, so to do things that can help to them and get a far reach like that is exciting.”
As for how it was testifying before state and federal committees, Couch said it was exciting and was an opportunity she couldn’t pass up.
Stephanie Hill is the managing editor and covers Columbia County government for The Augusta Press. Reach her at stephanie@theaugustapress.com.
