U.S. Senators Katie Britt, Steve Daines Spearhead Legislation Protecting Small Businesses from Massive Tax Hike
WASHINGTON, D.C. – U.S. Senators Katie Britt (R-Ala.) and Steve Daines (R-Mont.) joined Majority Leader John Thune (R-S.D.) and 32 Republican Senators in introducing the Main Street Tax Certainty Act to make permanent the 20 percent pass-through tax deduction for small businesses. With key portions of President Trump’s Tax Cuts and Jobs Act expiring at the end of 2025, lawmakers are fighting to ensure small businesses will not face a massive tax hike.
“In Alabama, 99.4% of all businesses are small businesses. The Main Street Tax Certainty Act would alleviate unnecessary burdens on our hardworking small business owners by permanently extending President Trump’s 2017 tax deduction,” said Senator Britt. “From entrepreneurs just starting out to the established, family-owned shops on Main Streets across our great state and nation, I will continue to fight tirelessly for small businesses and the families they support.”
The 20 percent small business deduction, section 199A, was created as part of President Trump’s landmark 2017 tax cuts to level the playing field between small businesses and large corporations. Without Congressional action, 9 out of 10 small businesses will be hit with a massive tax hike higher than most large corporations.
“As the son of a contractor, I’ve seen firsthand the hard work it takes to keep a small business flourishing- especially as Americans are still grappling with the effects of Joe Biden’s inflation. It’s absolutely crucial that we pass this legislation to prevent a 20 percent tax increase for hardworking Montanans and I’ll keep fighting for ways to support Montana small businesses, which provide the majority of jobs in our state,” said Senator Daines.
Recently, a new study from Ernst and Young highlighted the economic activity supported by this small and family-owned business tax deduction, including 2.6 million jobs and $325 billion of the GDP. Read the full text of the Main Street Tax Certainty Act here.
Senator Britt has been a fierce advocate for small businesses, criticizing reckless rulemaking proposals by various U.S. federal financial regulators and opposing their harmful effects on Main Street America. In addition to supporting the Main Street Tax Certainty Act in the 118th Congress, she has also fought for the delay of the Basel III Endgame proposed rule finalization by continuously emphasizing the rule’s “trickle down effects” on Main Streets and small businesses.
In the 118th Congress, Senator Britt also introduced the Small Entity Update Act to provide regulatory relief for small businesses, which was included in then-Banking Committee Ranking Member Tim Scott’s (R-S.C.) legislative package, the Empowering Main Street in America Act.
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