The White House Conference on Small Business will send President Carter and Capital Hill a list of 60 proposals it would like enacted, including numerous suggestions for tax relief. The delegates will decide today which 15 items will be tagged high priority.
The proposal receiving the most votes in conference balloting yesterday would replace the present corporate and individual income tax schedules with more graduated rate scales. It also would raise the corporate income level receiving the maximum tax rate from $100,000 to $500,000.
Another recommendation would adopt a simpler accelerated cost recovery system to replace the present one to give small businesses a break in depreciating equipment for tax purposes.
Congress is considering legislation to change the depreciation laws.
That plan would allow small businesses to claim as an expense immediately capital costs and government mandated expenses such as pollution control equipment, which now must be depreciated over a period of time.
Other recomendations in the tax area would:
Revise estate tax laws to ease the tax burden on family-owned businesses and encourage the continuity of family ownership.
Provide for a tax credit for initial investment in a small business and permit deferral of taxes for rollovers of investments affecting small businesses.
Provide tax incentives in the form of a new security called a small business participating debenture to provide capital for small businesses.
More than half of the 1,625 delegates registered for the conference on Monday and Tuesday attended discussion sessions on capital formation and retention, which concerned the tax relief proposals. Fifty-eight sessions have been held on 12 different issues confronting small firms, from minorities in business to inflation.
Another recommendation calls for balancing the federal budget by next year by limiting total federal spending to a percentage of the gross national product, beginning with 20 percent and declining to 15 percent.
The small-business people also want to see reforms of the Social Security system that would include all public and private sector employes as contributors and freeze the tax base and tax rate at the January 1980 level. The proposal also would eliminate "double dipping."
Another recommendation would revise the minimum wage regulations by exempting teen-agers, seasonal workers and part-time workers. The small-business delegates also voted to repeal the Davis-Bacon Act, which sets minimum wage standards for employes of construction companies. The wage standards are based on a national norm and don't account for differences in regional or local wage rates.
Other recommendations would:
Eliminate income tax on investments and interest income up to $10,000.
Establish mandatory goals for all federal procurements and funds to states, localities and institutions giving small businesses 35 percent, minoritites 15 percent and women 10 percent of that business.
Require federal agencies to report regularly on the resources they plan to make available to small businesses, minority-owned firms and women-owned businesses.
Ensure the enforcement of Public Law 95-507, which, among other things, gives minority-owned firms an edge in the awarding of some federal contracts.
Adopt an investment tax credit act to provide a 50 percent tax credit for corporations and individuals who invest in securities of small and minority business investment companies.
Implement a system to ease the regulation burden on small businesses.
Reimburse small busineses for court costs, reasonable attorneys fees and administrative damages when small businesses are proved innocent in court on charges by federal agencies.