News Summary
The National Federation of Independent Business has introduced two digital tools to support Texas small businesses. An interactive map visualizes the potential impact of the 20% Small Business Tax Deduction, showing potential job creation and GDP growth. A tax calculator helps business owners anticipate changes in federal income taxes as the expiration of this deduction nears. With an estimated loss of 200,000 jobs and a $12.5 billion GDP reduction possible, the tools are crucial for business planning. The NFIB also supports new legislation providing tax relief to millions of small business owners.
Texas – The National Federation of Independent Business (NFIB) has rolled out two new digital tools aimed at illustrating the significant economic impact of the 20% Small Business Tax Deduction for small business owners, policymakers, and the public in Texas. These tools are designed to facilitate a better understanding of how extending this deduction can stimulate growth and create jobs within the state.
The first of these tools is an interactive map that details the potential benefits of extending the Small Business Deduction across various congressional districts in Texas. According to the map, extending the deduction could generate over 200,000 jobs and contribute an impressive $12.5 billion to the state’s Gross Domestic Product (GDP) over the next decade. Users can navigate the map to view the projected job growth and GDP increase in their specific regions, providing a localized approach to understanding these impacts.
The second tool is a tax calculator designed specifically for small business owners. It offers insights into the potential federal income tax increases that may occur in 2026 if the 20% Small Business Tax Deduction is allowed to expire. For example, a Texas small business owner with an annual income of $75,000 and qualified business income of $150,000 could see their tax burden jump by more than $13,000 if the deduction is not made permanent. This calculator is intended to provide a tangible understanding of how the deduction affects individual financial situations.
According to NFIB state officials, not extending the Small Business Tax Deduction could lead to substantial tax increases for millions of small businesses throughout Texas, resulting in reduced job opportunities and heightened economic uncertainty. The NFIB has been vocal in advocating for permanent status of this deduction, arguing it is vital for maintaining a robust small business environment within the state.
In a supporting move, the NFIB expressed appreciation for the U.S. House’s recent passage of the One Big Beautiful Bill Act. This legislation is seen as a critical opportunity to deliver tax relief to more than 33 million small business owners across the country, including many in Texas. The NFIB asserts that this bill could serve as an important step in supporting small businesses and bolstering economic resilience.
The launch of the NFIB’s interactive map and tax calculator marks a strategic initiative to equip local business owners and elected officials with the knowledge and tools they need to advocate for the permanence of the Small Business Tax Deduction. As Texas continues to navigate its economic landscape post-COVID-19, these resources aim to foster a clearer understanding of the potential benefits that such tax policies can bring, not only to individual businesses but to the broader economy.
To explore the interactive map and utilize the tax calculator, individuals can visit www.SmallBusinessDeduction.com. The tools are intended to empower Texas small business owners and provide insights that could lead to informed advocacy efforts regarding the future of the Small Business Tax Deduction.
As the discussion about tax implications for small businesses in Texas continues, the NFIB’s resources offer valuable insight into the potential growth opportunities tied to the 20% Small Business Tax Deduction and highlight the implications of its expiration. Stakeholders across the state are encouraged to engage with these tools to facilitate a more vibrant economy.
Deeper Dive: News & Info About This Topic
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- Business.com: Why Start a Business in Texas?
- Spectrum News: HB-9 Small Business Tax Relief
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- Encyclopedia Britannica: Business Tax
- Google News: Texas Small Businesses Taxes
