Dear Friends in Economic Development,
On June 30, Governor John Kasich signed a new two-year budget for the State. This budget sets the stage for continued economic growth in Ohio, strengthening local communities and benefiting taxpayers with lower taxes and more opportunities for jobs.
This could not have been accomplished without your partnership. Thank you.
Because of your involvement in small business development, I want to make sure you know, this new budget continues Governor Kasich’s commitment to small business. They make up roughly 98% of all Ohio businesses and employ half of the State’s private-sector workforce. It’s an economic engine we must continue to fuel.
The Governor, in partnership with the General Assembly, had already enacted more than $3 billion in tax cuts, including eliminating the estate tax, cutting the state income tax by more than 10%, creating substantial tax deductions for small businesses, and giving targeted tax relief to low-income workers.
The budget continues the 75% tax cut for small businesses earning under $250,000 in business income and in Fiscal Year 2017, eliminates these taxes altogether. For businesses above that income level, there will be a new, low flat tax rate of 3%. It is estimated this dramatic tax cut will free up nearly $950 million in new capital for Ohio’s hometown businesses to make new investments and increase hiring.
If each small business owner hired one person this year, there would be more than 200,000 new jobs in Ohio. The Development Services Agency supports dozens of small business assistance centers across the state; providing access to assistance in writing or updating your business plan or securing access to capital. We stand ready to help you recruit skilled workers through www.ohiomeansjobs.com. It’s a service that can cost a business thousands of dollars a year, but is free to you if you have a business in Ohio.
The Development Services Agency will continue to fund worker training, high school and college internships and assistance to minority-owned and women-owned businesses.
You have been on the front line of the economic recovery in Ohio and we look forward to collaborating with you on future projects. We have momentum in Ohio. Let’s keep it going.