NFIB Releases Report Detailing Benefits of 20% Small Business Tax Deduction, Consequences of Potential Small Business Tax Hike in Nevada

CARSON CITY, Nev., April 15, 2025—The National Federation of Independent Business (NFIB), the nation’s leading small business advocacy organization, released a new report outlining the benefits the 20% Small Business Tax Deduction will bring to Nevada if made permanent.

The report also spotlights that the 333,000+ small businesses in Nevada could face significantly higher taxes if Congress does not make the 20% Small Business Tax Deduction permanent this year. The report outlines the severe consequences for small businesses in Nevada and the broader U.S. economy that would result from the provision’s expiration, highlighting potential economic slowdown and increased financial strain on local businesses.

The report also highlights a stark contrast in tax rates between small businesses and their larger corporate competitors if the deduction is not made permanent. In Nevada, the C-Corp tax rate would remain at 21%, while the small business rate would surge to 39.6%.

However, making the deduction permanent would lead to significant economic benefits, leaving the small business tax rate on a level playing field with its competitors. Additionally, Nevada is projected to gain 12,000 new jobs annually over the next 10 years if the deduction remains in place, including an annual GDP increase of $659 million for the first decade and $1.36 billion per year beyond 2035.

View the report for Nevada here. For a two-page graphic of the Nevada numbers, click here.

“Small businesses don’t just create jobs—they create opportunity, innovation, and strong local economies,” said NFIB Nevada State Director Tray Abney. “If Congress allows the 20% Small Business Deduction to expire, a massive tax hike on small businesses will take effect, stifling growth, putting the brakes on hiring, and endangering countless small businesses. With the deduction set to expire this year, lawmakers must act quickly to protect small businesses and the communities they support.”

The 20% Small Business Tax Deduction, a key provision of the Tax Cuts and Jobs Act of 2017, has empowered millions of small business owners to expand, hire employees, and increase wages. If Congress does not act to make it permanent this year, nine out of 10 small businesses will face a significantly higher tax burden, threatening jobs and economic stability nationwide.

Keep up with the latest Nevada small-business news at www.nfib.com or by following NFIB on X @NFIB_NV.

For more than 80 years, NFIB has been advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals. NFIB is a nonprofit, nonpartisan, and member-driven association. Since our founding in 1943, NFIB has been exclusively dedicated to small and independent businesses and remains so today. For more information, please visit nfib.com.

Speak Up, Nevada! What’s on Your Mind? Send us your opinion!

Got the inside scoop on something happening in Nevada? Or the country? Do you have thoughts about life in Nevada that are too good to keep to yourself? Whether it’s a hot take on our politics, crime, education, or even the secret to surviving our summers, we’re all ears! Swing them our way at editor@thenevadaglobe.com. Come on, give us the scoop on what makes Nevada tick—or what ticks you off. Let’s make some noise and have some fun with it!

*************************

Legal Disclaimer

The opinions expressed in this article, authored by Anthony Malandra, are solely those of the author and do not reflect the views or positions of Nevada Globe. This content is provided for informational purposes only and has not been endorsed by Nevada Globe. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the content contained on this site for any purpose. Any reliance you place on such information is therefore strictly at your own risk.

Nevada Globe is not responsible for, and expressly disclaims all liability for, damages of any kind arising out of use, reference to, or reliance on any information contained within the article. No guarantee is given that the information provided in this article is correct, complete, or up-to-date.

Although this article may include links providing direct access to other Internet resources, including websites, Nevada Globe is not responsible for the accuracy or content of information contained in these sites.

Links from Nevada Globe to third-party sites do not constitute an endorsement by Nevada Globe of the parties or their products and services. The appearance on the website of advertisements and product or service information does not constitute an endorsement by Nevada Globe, and Nevada Globe has not investigated the claims made by any advertiser.