Small Business Promotion Act

Small Business Promotion Act - Title I: Findings and Purpose - Declares that the purpose of this Act is to encourage the survival of a small business sector in the economy by reducing unnecessary Government regulation, by encouraging investment in small firms, by promoting small business export activity, and by increasing the involvement of small businesses in Federal procurement and research and development contracts.

Title II: Regulatory Adjustment and Reduction - Requires each Federal agency to publish in the Federal Register with its general notice of a proposed rule: (1) the goals and purposes of the proposed rule; (2) the estimated number of small businesses, as defined in this Act, to which the rule would apply; and (3) a statement that the agency will consider alternative proposals to the rule which would reduce its impact on small businesses through differing compliance or reporting requirements, exemptions to the rule, consolidation and simplification of the requirements of the rule, altered performance standards, differing timetables for compliance, and other suitable means. Requires each Federal agency to publish an impact analysis with the general notice of a proposed rule if it imposes reporting requirements on ten or more members of the public.

Directs each agency to publish the reasons for adopting any final rule rather than alternative proposals which would have had a lesser economic impact on small businesses.

Requires each Federal agency to publish a plan for the review of its rules. Sets forth factors to be considered in such reviews including an analysis of the continued need for a rule, its impact on small business, and the feasibility of simplifying and modernizing its requirements.

Title III: Tax Adjustment and Relief - Amends the Internal Revenue Code to limit recognition on the gain from the sale or exchange of an unincorporated trade or business entirely owned by the taxpayer only to the extent it exceeds the cost of reinvesting in replacement property used in connection with an unincorporated trade or business in which the taxpayer is the sole owner or which was begun by the taxpayer after the date of such sale or exchange. Applies such nonrecognized gain to reduce the basis of specified assets for determining their capital gain or loss.

Increases the additional first year depreciation allowance for small business concerns.

Permits a taxpayer to elect to amortize over a 36 month period expenses for depreciable property which is acquired in order to bring a business into compliance with Federal regulations and which does not have any economic usefulness for the business.

Permits shareholders of certain small Domestic International Sales Corporations to defer taxation on stock distributions attributable to specified items reflected in corporate earnings.

Authorizes any individual who owns the entire interest in an unincorporated trade or business with a taxable income of $1,000,000 or less in the prior taxable year to elect the cash method of accounting in reporting income.

Entitles any employer to a tax credit equal to such employer's share of Social Security taxes assessed against an employee in excess of the amount required by law.

Title IV: Product Liability Insurance - Amends the Internal Revenue Code to exempt from taxation any trust whose sole purpose is the payment and administration of product liability claims against persons engaged in a trade or business. Allows a deduction for amounts contributed to such a trust by a taxpayer engaged in a trade or business.

Title V: Federal Procurement Contracts - Requires Federal procurement contracts for which a notice has been published in the Commerce Business Digest to remain open for bids for 30 days from such publication or for such other period contained in the notice unless emergency circumstances prevent compliance. Requires the notice to state the reasons for restricting bidding on such a contract to a single person or section of the United States.

Directs the Secretary of Commerce to: (1) ensure that all contracts set aside for small businesses are published in a timely manner; and (2) notify any small business, at its request, of all contracts upon which it may bid.

Amends the Small Business Act to require the Small Business Administration to assure small business participation in Federal agency contract research and development programs by: (1) maintaining a source file and information program; (2) coordinating a schedule with participating agencies for release of contract and research and development solicitations; and (3) preparing a master release schedule to preclude several Federal agencies from releasing solicitations at one time.

Increases small business participation goals in Federal procurement and research and development programs.

Directs each Federal agency to review its large system procurements and to take all feasible steps to subdivide such procurements into smaller components on which small firms can bid.

Requires each Federal agency letting a contract not exceeding $100,000 which will be performed in the United States and is not personal in nature to provide a copy and summary of each major law and agency rule affecting the performance of the contract by a small business concern.

Title VI: Export Opportunities - Directs the Administrator of the Small Business Administration to establish a computerized facility for the collection of information relating to export opportunities for small businesses. Requires the Secretary of Commerce, the Secretary of State, and the Secretary of Agriculture to assist the Administrator in collecting such information. Requires the Administrator to designate one individual in each regional office of the Administration whose sole duties shall relate to the dissemination of such information. Provides for the dissemination of information by United States diplomatic and consular missions on the availability of products and services which may be provided to foreign consumers by small business concerns.