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NFIB Report Details Benefits of 20% Small Business Tax Deduction Becoming Permanent in Montana

NFIB Report Details Benefits of 20% Small Business Tax Deduction Becoming Permanent in Montana

April 15, 2026

State projected to gain 5,000 new jobs annually, increase GDP $244 million every year for the first decade

FOR IMMEDIATE RELEASE
Contact: Ronda Wiggers, State Director, rondakwiggers@gmail.com
or Tony Malandra, Senior Media Manager, anthony.malandra@nfib.org

HELENA, Mont., April 15, 2026—The National Federation of Independent Business (NFIB), the nation’s leading small business advocacy organization, released a new report outlining the economic benefits and massive tax savings the 20% Small Business Tax Deduction will bring to the 141,011 small businesses in Montana now that it has been made permanent. The report also details several other federal tax relief wins that were signed into law.

Additionally, Montana is projected to gain 5,000 new jobs annually over the next 10 years if the deduction remains in place, including an annual GDP increase of $244 million for the first decade and $503 million per year beyond 2035.

View the report for Montana here.

“Tax Days are rarely causes for celebration, but this year’s is a little bit brighter for small business owners thanks to Montana’s congressional delegation, especially Sen. Steve Daines, which succeeded in making the Small Business Tax Deduction permanent, instead of letting it expire at the end of last year,” said Ronda Wigger, state director for NFIB in Montana. “Combined with the Montana Legislature’s tax changes, small business owners here have a clearer certainty on decisions they make in hiring, giving raises, or buying equipment to expand their enterprises. Most of the elected officials Montanans send to Helena and Washington, D.C., know that more than 80% of small businesses are organized as pass-through entities for federal tax purposes and report their business earnings and expenses on their personal income tax forms. That distinction is so vital in producing the right policies.”

Since 2017, the Small Business Tax Deduction has allowed small businesses to deduct up to 20% of their business income. This has empowered them to grow, hire, invest in their employees, and give back to their communities. Without action by Congress, this essential tax deduction was set to expire at the end of 2025.

After being passed by Congress, President Trump signed legislation on July 4, 2025, making the Small Business Tax Deduction permanent. This permanent tax relief means America’s small businesses can use more of their hard-earned money to support their business and employees instead of sending it to their state and federal government. It also provides certainty and levels the playing field for small businesses against their large corporate competitors.

Keep up with the latest Montana small business news at www.nfib.com or by following us on X at @NFIB_MT.

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For over 80 years, NFIB has been advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals. NFIB is a nonprofit, nonpartisan, and member-driven association. Since our founding in 1943, NFIB has been exclusively dedicated to small and independent businesses and remains so today. For more information, please visit nfib.com.

NFIB Montana
406-899-9659
rondakwiggers@gmail.com
NFIB.com
X: @NFIB_MT

 

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