A new poll released today by the National Federation of Independent Business (NFIB) reveals widespread, bipartisan support for small businesses in America, along with overwhelming backing for making the 20% Small Business Tax Deduction permanent. This deduction, introduced under the 2017 Tax Cuts and Jobs Act (TCJA), is set to expire at the end of the year, and Americans are urging Congress to act to prevent a significant tax hike for small businesses.
What’s the proposal?
The deduction has been crucial in leveling the playing field between small businesses and large corporations by reducing tax burdens for small business owners. If left to expire, the impact would be severe, as nearly 9 out of 10 small businesses would face a substantial tax hike, potentially crippling their ability to expand and raise wages.
The NFIB, which advocates for small businesses, conducted the poll, showing strong support from all political affiliations, with over 8 in 10 Americans believing it is important for the federal government to support small businesses. The survey found that 83% of Republicans, 86% of Democrats, and 79% of Independents agree that it’s important for the government to support small businesses.
Image Source | NFIB Insight "The 20% Small Business Tax Deduction: Quantitive Findings March 2025
NFIB President Brad Close emphasized the stakes, stating, “Americans recognize the immense value of the 20% Small Business Tax Deduction and are concerned about the devastating consequences should Congress fail to act.”
The results
According to the NFIB poll, the results uncovered:
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83% of Americans feel it’s important for the federal government to support small businesses, with 45% considering it extremely important.
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62% of respondents believe the Small Business Tax Deduction should be kept in the tax code, while only 20% support letting it expire.
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77% of respondents agree that the deduction helps level the playing field between small businesses and larger corporations.
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91% of Americans agree that small businesses rely on the deduction, and 79% say it has a positive impact on the economy.
Why does this matter?
As the expiration of the Small Business Tax Deduction looms, Americans are expressing clear concern about the economic consequences. Moreover, the poll shows that 51% are extremely concerned about its impact on the economy, and 75% believe the deduction has a positive effect on local economies.
NFIB urges Congress to act quickly to make the deduction permanent, ensuring small businesses have the certainty needed to grow and contribute to their communities.
