Small Businesses Demand Tax Deductions Following GOP Election Wins

Tax Deductions Urged by Small Businesses for Economic Stability

With the recent GOP victories in the elections, small business owners are fervently advocating for the continuation of tax deductions that are set to expire, a vital aspect of their economic strategy. The 2017 Tax Cuts and Jobs Act (TCJA) allowed these owners to deduct up to 20 percent of their income, significantly aiding their operations.

Upcoming Challenges and Discussions

The expiration of these deductions in 2025 could lead to major tax increases, prompting discussions among lawmakers and business owners about the future of the TCJA. At the recent event titled "The 20% Small Business Tax Deduction: Why It Matters & What’s Next?", organized by The Hill and the National Federation of Independent Businesses, many expressed their concerns.

• Rep. Lloyd Smucker (R-Penn.) is pushing for the Main Street Tax Certainty Act to make these deductions permanent.
• He emphasizes that a strong economy relies on empowering small businesses.
• Current sponsorship includes 192 lawmakers, indicating an effort toward bipartisan support.

Rep. Brad Schneider (D-Ill.) highlighted the importance of bipartisan cooperation rather than partisan divisions in shaping future tax policies.

The Importance of Tax Deductions

Panelists made up of small business owners discussed how the ability to compete with larger corporations is crucial and cited the current tax deductions as a significant factor in community reinvestment.

Small business owner Candice Price from Omaha voiced how these deductions directly boost her sales and support local economic growth. She also mentioned that many are unaware of the deduction's possible end and the challenges that uncertainty poses for planning ahead.