LITTLE ROCK (AP) - An Arkansas House
committee has advanced a proposal to establish a new economic
development program in the state aimed at driving private investment to
small businesses.
The House Economic Development Committee
unanimously gave its approval to the bill that would allow the state to
allocate tax credits to groups of investors who agree to provide
financing to qualified small businesses. The investors would sell the
tax credits to insurance companies and raise private capital in order to
make loans to or invest in small businesses in low-income communities
in Arkansas.
Democratic Rep. Darrin Williams sponsored the bill
and told lawmakers that the new program will create and retain jobs in
the state.
The Department of Finance and Administration says it's unknown how the tax credits would impact state revenue.
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