ICYMI: NFIB Testifies on Small Business Tax Burdens Before U.S. House Budget Committee

June 26, 2023

ICYMI: NFIB Testifies on Small Business Tax Burdens Before U.S. House Budget Committee

WASHINGTON, D.C. (June 26, 2023) – NFIB Vice President of Federal Government Relations Kevin Kuhlman testified before the U.S. House Budget Committee in a hearing titled, “Reigniting American Growth and Prosperity Series: Incentivizing Economic Excellence Through Tax Policy”. As small business owners’ expectations for future business conditions remain low, Kuhlman explained how Congress can help mitigate economic challenges by extending beneficial small business tax provisions. “Small businesses face a very uncertain tax future that makes business planning extremely difficult. Beginning this year, certain business provisions of the Tax Cuts and Jobs Act (TCJA) of 2017 expire or wind down. In 2.5 years, the vast majority of the provisions that benefit individuals and small businesses will also expire. If Congress fails to act, there will be a detrimental and substantial tax increase on millions of small businesses. “Small businesses received significant tax relief upon enactment of the Tax Cuts and Jobs Act of 2017. More than three-quarters of businesses are organized as pass-through businesses. Business income is passed through to the business owner’s individual income tax return, where individual income tax rates are applied. These businesses invest much of their post-tax dollars back into their businesses and employees.” In addition to the importance of making the Small Business Deduction permanent, Kuhlman also spoke on the proposed tax increases on small businesses included in President Biden’s Fiscal Year 2024 Budget Request. In response to the proposed tax increases, NFIB collected over 21,000 signatures from small business owners throughout the country opposing the “Small Business Surtax” and stating that “small business is not a tax loophole.” Read his full testimony here. Watch Kuhlman’s opening statement here.

Topics:

Taxes

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