REGIONAL INDUSTRY NEWS: Small to medium size business tax news:

  The 20% Small Business Deduction is crucial for small business owners, but it is currently set to expire in 2025. NFIB President Brad Close wrote an op-ed in Fox Business and was a guest on the Small Business Rundown explaining the benefits of this deduction and why Congress should pass the Main Street Tax Certainty Act.

“As the deductions' expiration comes closer, small businesses are pulling back,” Close wrote. “In 2021, nearly half of NFIB members said that uncertainty over the deduction was already affecting their business plans, meaning less investment in workers and local communities.”

Making the 20% Small Business Deduction permanent by passing the Main Street Tax Certainty Act is the number one advocacy priority of NFIB and small business owners. The 20% Small Business Deduction was created in the 2017 tax law to bring small businesses’ tax rates closer to that of their large, corporate competitors.

“It has empowered nine out of 10 small businesses to deduct up to 20% of their business income,” Close explained. “The Small Business Deduction has already given America’s mom-and-pop businesses billions of dollars in tax relief, allowing them to reinvest back in their businesses, employees, and communities, and most importantly, create jobs. Without this crucial provision, the 2017 law would have unfairly tilted the playing field toward big businesses and large corporations." Surce: MFIB(click to read entire article)

In our peak seasonal industry Eastside Pump always in keeping up to date on the latest news for small business. Equipment purchase, service repairs and upgrades make for the best end of year deductions.! EP

Eastside Pump: Keeping working capital flowing:

“The health of the financial system is essential to small business operations,” said Holly Wade, Executive Director of NFIB’s Research Center. “While most owners are currently satisfied with their ability to borrow, the escalating cost of financing associated with high interest rates is a significant issue for many.”

The decline in bank competition and banking disruptions are of concern. In 1983, there were 14,469 independent banks; today, only 4,136 remain according to the FDIC. The report offers insight into how well the financial system is serving its small business clients. Source: MFIB (click to read entire article.)

A great article for those who finance the winter months.! EP