President Bush’s tax cut proposal would allow small businesses to write off up to $75,000 worth of new equipment purchases each year, an increase from the present $25,000 limit.

A competing plan offered by Democrats would raise the limit to $50,000.

The centerpiece of the president’s plan, the proposal to eliminate personal income taxes on stock dividends, is a lightning rod for criticism. Opponents charge it is a giveaway to the wealthy.

Some Democrats who supported the president’s 2001 tax cut are jumping ship this time, and a leading Republican, Senate Finance Committee Chairman Charles Grassley of Iowa, said he doubted that the proposal would pass intact.

The president proposed accelerating cuts in income tax rates that were supposed to take place in future years and eliminating the marriage penalty that raises taxes for two-income couples.

The Bush proposal does not include permanent repeal of the estate tax, but the White House said the president would favor repeal in a separate bill.

The National Federation of Independent Business said it will continue to push the issue. “We’re not going to let go,” NFIB president Jack Faris told reporters Jan. 9. “We’re like a dog on a bone.”

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The new chair of the Senate Small Business Committee, Sen. Olympia Snowe (R-ME), told small business representatives her goal is to establish an environment “that will help small businesses start-up, flourish and create new jobs.”

Snowe met with representatives from more than 20 small business organizations at her first committee roundtable Jan. 16.

“Our mission will include many problems that also fall under the jurisdiction of other federal departments, agencies and Senate committees,” she said. “This broad view, with a small business perspective, is needed because the health of America’s Main Street is so critical to a sound economy as a whole.”

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Businesses in the New York City area and northern Virginia have until Jan. 31 to apply for the SBA Economic Injury Disaster Loans.

The long-term loans are available to eligible small businesses that suffered substantial economic injury as a direct result of the September terrorist attacks or a federal action taken in response to the attacks. 

For details, call SBA’s Disaster Area Office at 1-800-659-2955.

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GSA plans to charge a $30 annual fee for subscribers to receive e-mail notifications of contract opportunities posted on FedBizOpps.gov.

According to a proposed rule published in the Jan. 9 Federal Register, the fee will be charged beginning Oct. 1 to customers who receive all procurement notices from the website and to those who receive personalized notifications from selected agencies or product classifications. Those who wish to receive all notices related to one specific solicitation will not be charged. Access to the website will continue to be free.

The proposed rule is GSAR case 2002-G501. Comments are due by Feb. 10.

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“The government does not know how purchase card spending impacts small businesses and other socio-economic categories,” the General Accounting Office reported.

“According to banks and payment card associations, banks do not generally collect socioeconomic data when merchants apply to accept payment cards, because the banks are concerned about possible discrimination complaints as well as client privacy,” the report said.

The two leading Republicans on the Senate Small Business Committee, Chair Olympia Snowe of Maine and former Chairman Kit Bond of Missouri, called for greater effort to collect the data, because of the growing use of purchase cards.

GAO said purchase card transactions totaled $13.8 billion in fiscal 2001, and have been growing rapidly. But they still amount to only about 6% of all procurement dollars.

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Alan Balutis has resigned as executive director of the Federation of Government Information Processing Councils, a collection of professional groups that serves as liaison among federal IT managers, users and vendors.

Balutis and the councils’ board could not agree on his desire to do outside consulting work, Federal Computer Week reported. Balutis declined to comment.

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The Commerce Department announced the launch of its Spanish-language website.

The site, at http://www.commerce.gov/index_spanish.htm, provides information on trade opportunities, government contracting, grants and high-tech issues, the department said in a news release.