Bill > A08225

This bill authorizes the creation of small business tax-deferred savings accounts, which can be used to improve the facilities of such businesses or to procure machinery and equipment. Deposits into these accounts, as well as any interest earned, would be excluded from a business's taxable income. Withdrawals from the accounts, except for interest income, would be included in taxable income, with an additional 10% tax on any withdrawals not used for the intended purposes. The bill would take effect immediately and apply to taxable years beginning on or after January 1, 2022.