NFIB poll finds support for small business tax deduction

The National Federation of Independent Business (NFIB) released a poll this week showing  Americans overwhelmingly want the federal government to support small businesses, and to keep the 20% Small Business Tax Deduction permanent.

The poll found that more than 8 out of 10 Americans feel it is important for the federal government to support small businesses. Nearly all Americans (95%) are concerned about the impact an expiration of the deduction would have.

NFIB President Brad Close urged Congress to make the deduction permanent, stating that small businesses need certainty to continue to grow and hire.

Among the poll’s others findings: 

• 83% of respondents said that it was important for the federal government to support small businesses. 
• More than two-thirds of Republicans (83%), Democrats (86%) and Independents (79%) polled said that federal support for small businesses was important.
• Americans support the expiring 20% Small Business Tax Deduction that was included in the 2017 Tax Cuts and Jobs Act (TCJA).
• 62% of respondents want to keep the Small Business Tax Deduction in the tax code while only one in five supports letting it expire.
• 77% agree that the Small Business Tax Deduction helps level the playing field for small businesses by keeping their tax rates closer to those of larger corporations. 
• 79% of Americans believe the Small Business Tax Deduction has a positive impact on the economy overall.
• 75% of Americans believe the Small Business Tax Deduction has a positive impact on the local economy where they live.
• 51% of Americans are extremely or very concerned about the impact on the economy if the Small Business Tax Deduction expires.
• Nearly all Americans polled (95%) express some concern about the impact an expiration of the deduction would have.

The 20% Small Business Deduction was established under TCJA to level the playing field between small businesses and their large, corporate competitors. However, the deduction is set to expire at the end of 2025.

Without Congressional action, 9 out of 10 small businesses will be hit with a massive tax hike, decimating their ability to expand business operations and raise wages for employees, NFIB said.