    [Public Papers of the Presidents of the United States: George W. Bush (2003, Book I)]
    [January 18, 2003]
    [Pages 66-67]
    [From the U.S. Government Publishing Office www.gpo.gov]

    The President's Radio Address
    January 18, 2003

        Good morning. In the coming weeks, the House and Senate will
    consider my proposals to speed up economic growth and generate new jobs
    for American workers. Part of that plan is designed to help America's
    small businesses, in particular, which create millions of jobs each year
    and account for about half the Nation's economic output.
        Small-business owners represent the enterprise of the whole Nation
    and the diverse talents of our people. Nearly 40 percent of small firms
    are owned by women. Close to 15 percent of America's small-business
    owners come from minority groups, and the trend of minority ownership is
    accelerating. These minority-owned firms, more than 3 million strong,
    provide opportunities and give life to local economies across America.
        To help small business, Government should not try to manage the
    economy from Washington. Government's role is to create an environment
    in which employers succeed and hire new people.
        My jobs-and-growth plan will help in several specific ways. I am
    proposing tax relief for everyone who pays Federal income taxes. Two
    years ago, Congress approved income-tax reductions that will not go into
    full effect until 2006. My plan would make these reductions effective
    immediately, to boost the economy in the short term and help insure
    long-term growth. If tax relief is good enough for Americans 3 years
    from now, it is even more necessary today, when our recovery is not as
    strong as it should be.
        Small businesses stand to gain a great deal from this measure. After
    all, more than two-thirds of taxpayers who pay the highest marginal tax
    rates are small-business owners who include their profits when they file
    their individual tax returns with the IRS. All together, the tax relief
    I propose will give 23 million small-business owners an average tax cut
    of $2,042 this year. And I'm asking Congress to make those reductions
    permanent, so that America's entrepreneurs can plan for the future, add
    more employees, and invest in our economy.
        I will also ask Congress to raise the amount of money small
    businesses can deduct from their taxes for investment in new equipment,
    such as machinery and computers. Right now, the maximum deduction is
    $25,000. We should triple that amount to $75,000 and adjust it for
    inflation. This reform would give small businesses a further incentive
    to make the investments on which our economy depends.
        Our commitment to small businesses will take other forms as well. We
    will streamline business regulations and make sure that the concerns of
    small businesses are heard in Washington.
        I'm also urging Congress to enact legal reform to curtail the
    frivolous lawsuits that impose unfair costs on businesses and their
    customers. And I will continue to seek a permanent end to the death tax,
    so that America's small-business owners can pass along their life's work
    to the next generation.
        America's economy can thrive only when our small businesses thrive.
    My growth-and-jobs proposal will encourage America's

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    entrepreneurs and help to reward their efforts. By reducing taxes,
    encouraging investment, and removing obstacles to growth, we will create
    a platform for future prosperity, so that small business can flourish
    and every American who seeks work can find a job.
        Thank you for listening.

    Note: The address was recorded at 10:15 a.m. on January 17 in the
    Cabinet Room at the White House for broadcast at 10:06 a.m. on January
    18. The transcript was made available by the Office of the Press
    Secretary on January 17 but was embargoed for release until the
    broadcast. The Office of the Press Secretary also released a Spanish
    language transcript of this address.