What it means: The U.S. House budget resolution allows Congress to make the 20% Small Business Tax Deduction permanent, a positive step towards stopping the massive tax hike on nine out of ten small businesses nationwide. NFIB designated this as a Key Vote to hold members of Congress accountable if they do not support it.

Our take: “In less than a year, taxes will increase on over 30 million small businesses if Congress fails to act. The 20% Small Business Deduction was claimed by nearly 26 million small businesses in 2021. Over 91% of NFIB members support making expiring small business Tax Cuts and Jobs Act provisions permanent,” said Adam Temple, NFIB Senior Vice President of Advocacy. 

Take Action: NFIB’s petition to make the Small Business Deduction permanent has reached over 100,000 signatures! Help amplify the voice of small business by signing today!

The U.S. House budget resolution is the first step to make the 20% Small Business Tax Deduction permanent. NFIB sent a letter of support to the U.S. House for H.Con.Res 14 that would allow Congress to use the budget reconciliation process to make the deduction permanent. This was designated an NFIB Key Vote for the 119^th Congress,

This resolution now moves to the Senate where it must pass to give Congress the authority to begin drafting legislation to make the 20% small business tax deduction permanent. According to a recent macroeconomic study, if made permanent, the Small Business Deduction would grow the economy by $750 billion over the next ten years while adding 1.2 million jobs annually. NFIB called on Congress to use the passage of the budget resolution to make the deduction permanent immediately.

“Congress has the tools it needs; now it’s time for them to act and make the 20% Small Business Deduction permanent for over 30 million small business owners. With the passage of the budget resolution, the budget reconciliation process presents the best opportunity for Congress to immediately act and prevent a tax increase on Main Street and make the 20% Small Business Deduction permanent,” said Adam Temple, NFIB’s Senior Vice President of Advocacy.

Learn more about NFIB’s number one priority this year in a press release, on a recent episode of the Small Business Rundown podcast, and on NFIB’s website. Take Action: NFIB’s petition to make the Small Business Deduction permanent has reached over 100,000 signatures! Help amplify the voice of small business by signing today.