WASHINGTON (Gray DC) - Starting a business is risky and expensive. Many businesses struggle to get off the ground because of funding. Republican Senator Tim Scott and Democratic Congressman Ron Kind say they've got the fix to help kickstart the economy in rural and underserved areas.
They've introduced the Investing in Opportunity Act. The bill would help facilitate local successful businesses investments in new start up companies. The lawmakers say it won't cost the taxpayer a penny.
"We’re simply redirecting capital, private capital into the best places to get the best return," said Senator Scott.
They plan on delaying the capital gains tax for seven years if investors are willing to make investments in distressed communities.
"It will make it easier to get that money off the sidelines and investing in the communities that need good jobs right now," said Congressman Kind.