• Legislative Alert: Senate May Vote on Permanent Estate Tax Repeal

• National Small Business Week 2002 to Begin
• Legislation Would "S.A.V.E" Self-Employed from High Health Care Costs

• Self-Employed Hit Hard By Lack Competition in Health Insurance, GAO Finds

Legislative Alert: Senate May Vote on Permanent Estate Tax Repeal

Last week Washington Watch reported that the Senate was not likely to consider legislation to make last year’s tax relief package permanent. However, the Senate leadership has indicated their willingness to consider legislation to permanently repeal the onerous estate tax, which was included in the tax relief package.

Senators have proposed that H.R. 8, the Death Tax Elimination Act, which was sponsored by Rep. Jennifer Dunn (R-WA) and passed by the House, be voted on in the Senate prior to the July 4 congressional recess.

The repeal of the estate tax is a legislative priority for the National Association for the Self-Employed (NASE). The estate tax is not only debilitating to a small business when its owner has passed away, but the money that the owner must spend to prepare for the estate tax is also a burden that drains business resources. Money spent on estate tax planning measures could have been reinvested into the company. Moreover, estate tax liability considerations frequently affect business decisions about investments and expansions.

The NASE is asking you to contact your Senators regarding the estate tax by using the NASE Legislative Action Center.

For more information regarding this issue, please contact Kristie Darien, NASE director of government affairs, at 202-466-2100 or kdarien@nase.org.
 

National Small Business Week 2002 to Begin

The National Association for the Self-Employed is pleased to be a sponsor of this year’s National Small Business Week. Hosted by the U.S. Small Business Administration (SBA), National Small Business Week will be held from May 5 - 11, 2002 in Washington, D.C. The celebration will honor the estimated 25 million small businesses in America that employ more than half the country's private work force, create three of every four new jobs and generate a majority of American innovations.

During Small Business Week, the Small Business Person of the Year, Small Business Advocates and Special Award Winners are honored. The NASE had the opportunity to participate in the selection of the Home-Based Business Person of the Year, which will be announced at the award ceremony.

For more information on National Small Business Week, please contact the Small Business Administration at 1-800-827-5722. If you are an NASE Member interested in being nominated for a National Small Business Week award for 2003, please contact Kristie Darien at 202-466-2100 or kdarien@nase.org.
 

“We have over 42 million Americans without health insurance,” Congresswoman Granger commented at the press conference. “In the wealthiest, most advanced nation in the world, this is unacceptable. A tax credit for quality health insurance will give every American the coverage they deserve at a price they can afford.”

Similar to the proposal made by President Bush earlier this year, the credit would provide $1,000 for individuals, $2,000 for married couples and $500 per dependent up to $3,000 per family. The credit goes beyond the President’s proposal by providing 50 percent of any additional premiums to assist those with higher costs. The legislation also expands eligibility requirements to allow all low and moderate-income earners to have access to coverage.

For more information on Rep. Granger’s press release on S.A.V.E., visit:

http://kaygranger.house.gov/news.asp
 

Self-Employed Hit Hard By Lack of Competition in Health Insurance, GAO Finds

According to a new survey by the General Accounting Office (GAO), few large insurance companies market small-group health insurance. The NASE believes this lack of competition forces the self-employed and micro-businesses to pay double-digit premium increases for health coverage.

“You do not need to be an economist to understand that when competition in health insurance is anemic, those who need coverage the most are going to suffer from high costs and few choices,” said Sen. Kit Bond (R-MO), ranking member of the Senate Small Business Committee, who requested the report from the GAO.

According to the report (GAO-02-536R), the five largest insurance carriers, when combined, represented three-quarters or more of the market in 19 of 34 states supplying information. They also represented more than 90 percent of the market in seven of those states.

The National Association for the Self-Employed believes Association Health Plans (AHPs) are a key step to increasing competition in small markets and making health care more affordable to the self-employed and small-business owners. The NASE supports the Small Business Health Fairness Act (S. 858, H.R. 1774), which would provide for AHPs and empower small-business entrepreneurs with the same tools and bargaining power that large employers use to make health coverage affordable for working families.

The NASE is asking you to contact your member of Congress regarding Association Health Plans by using the NASE Legislative Action Center.
 

Do any of these issues affect you? Visit the NASE’s Legislative Action Center and “Tell Your Small Business Story.” This will help the NASE understand - on a personal level - how key legislative issues are affecting your business and your bottom line.

For more information, contact Maureen Petron, NASE public affairs manager, at (202) 466-2100 or mpetron@nase.org.