NFIB’S President and CEO Juanita Duggan appeared on Bloomberg Markets: Balance and Power on Friday, December 21.
During her appearance on Bloomberg leading up to the one year anniversary of the Tax Cuts and Jobs Act (TCJA) being signed into law, Duggan wrapped up the year on a strong note for small business, celebrating record-high business optimism and NFIB’s efforts to make tax cuts permanent, as 23 provisions from the TCJA will be expire on December 31st, 2025, including the 20 percent tax cut.
“One of the things we want to make sure is that that large tax cut that was approved for small business last year is made permanent,” Duggan said. “We were very thrilled to hear that Senator [Chuck] Grassley, who’s going to be the next Finance Committee Chair, said on the floor last week that that was his highest priority—to make the 20 percent tax cut for small business permanent. I think we’ll have a great opportunity to have a dialogue with the new members coming in on the House side as well.”
With 2018’s tight labor marker continuing to be an issue for small business owners, according to the November Optimism Index report, Duggan suggested this may actually be a positive opportunity for American workers.
“Right now, [small business owners] tell us that the single most important business problem is finding qualified workers,” Duggan said. “But what it’s doing is causing small business owners to raise wages … so this is actually good news for American workers.”
Despite a slight dip in NFIB’s 2018 November Small Business Optimism Index report, small business optimism remains historically strong. Record-high sentiments continuing to show that when regulatory efforts are eased, business owners are able to thrive and prosper, as well as the economy.
“The small business economy is half of the [U.S.] economy, it is one half of the GDP … and it’s two of every three new jobs,” Duggan said. “So, when you think about the Small Business Economic Trends report, you’re seeing the other half of the economy that’s not reflected in the markets. … The NFIB Optimism Index turns out to be a really great indicator of the future health of the economy, and, right now, [small business owners] still have great expectations.”