business and get their tax rates dropped. we have to have important roles to guard against that, but the whole purpose of this is to get those tax rates down, that s number one. number two, we say to these small businesses, you can invest in your business, buy equipment, buy a car, buy a van, by computers, buy whatever it is you do, and you can write off 100% of the cost of that investment in the year you do it. we call that expensive. for small businesses, 100% full expensing so that you will do that. then we say, as you work your way up the income scale, if you re just starting, if you are just starting a business, don t tax you at 25%, text you at 9% after your expenses because you can write off all of your investments in a plant and equipment. what that does is it helps nurture small businesses to get up and started. small businesses that are just getting formed, they don t have cash flow, not a lot of income.
you want to give them the break so that they can build their business and start getting cash flow and start getting income and don t smack them with a high tax rate when they are just getting successful. nurture it and then to top their tax rate ideal at 25%. bret: in some of these big states state and local taxes on the individual is a big deal. you take that out, the senate plan does not. speaker ryan: they take it out completely. bret: they take it out, but you still have it and i m saying. speaker ryan: here s what we say. because we want to get everybody s tax rates down across the board in the analysis shows us that taxpayers in all states get a net tax cut, but there are clearly going to be individuals that utilize really big deductions that may not do so well. we believe everybody will benefit for two reasons. every income group on average gets a tax cut, but the economy is going to grow, you will get faster wages. if you are a high income individual with a big tax touc
increase small business job growth. the house bill says for small businesses, let s drop the tax rate to 9%, not 25%. drop eight to 9%. the senate bill has has a big . we say, you can on the net income you pay a 9% tax rate. it helps the new and young starting businesses. if you are a millennial coming out of school, this helps you because you have cash flow positive. you can write off the investment in your business and when you start making money, you re not going to get hit with a 25% tax rate. we want more small businesses to succeed and grow. we know most of our jobs come from small businesses.
million talk show viewers a few years later, it seemed likely that a good many would follow her and her favorite things to her new tv cable network. over the following week, my crew and i will be brainstorming new ways we can entertain you. reporter: but it turns out own has attracted just a fraction of the ratings oprah s daytime talk show had. one-tenth, in fact. it wasn t until this week that own has finally said it was cash flow positive. when she went to own and it didn t exactly look like the talk show people knew and loved her for, there was a lot of disappointment there. i think what s been interesting is in the time since, you ve seen her slowly figure out what her network looks like and what her presence in the network looks like. reporter: oprah herself has said her team started before they were ready. she told cbs news she has learned from the experience. if i knew then what i knew
winfrey network, has attracted just a fraction of the ratings oprah s show had, one-tenth. it wasn t until this week that own announced it is now, finally, cash flow positive. when she went to own and it didn t look exactly like the talk show that everybody knew and loved her for, there was a lot of disappointment there. i think what s been interesting is in the time since you ve seen her slowly figure out what her presence on the net work looks like. so now own can begin repaying the investment she made in the network. oprah said her team started before she was ready. she said she has learned from the experience. if i knew then what i knew now, i would make different choices. ma am, ma am, excuse me, how you doing? one key to her success,