For immediate release
Contact: Patrick Connor, director of the state of Washington, Patrick.connor@nfib.org,,
or Tony Malandra, director of senior media, anthony.malandra@nfib.org
Olympia, Washington, April 15, 2025 –The National Federation of Independent Businesses (NFIB), the main organization of defense of small businesses in the country, has published a new report describing the advantages that the tax deduction of 20% of small businesses will bring to Washington If you have made permanent.
The report also highlights that the 672,000 small businesses in Washington could face much higher taxes if the congress does not make the 20% of small permanent companies this year. The report describes the serious consequences for small businesses in Washington and the wider American economy that would result from the expiration of the provision, highlighting the potential economic slowdown and increased financial pressure on local businesses.
The report also highlights a contrast hitting tax rates between small businesses and their largest business competitors if the deduction is not made permanent. In Washington, the C-CORP tax rate would remain 21%, while the rate of small businesses would increase to 39.6%.
However, making the permanent deduction would lead to significant economic advantages, leaving the tax rate of small businesses on a level playground with its competitors. In addition, Washington is expected to obtain 30,000 new jobs per year over the next 10 years if the deduction remains in place, including an annual increase in GDP of $ 1.91 billion for the first decade and $ 3.84 per year beyond 2035.
Consult the report for Washington here. For a two -page graphic of Washington numbers, Click here.
“Small businesses do not only create jobs – they create opportunities, innovation and strong local economies,” said NFIB Washington state director Patrick Connor. “If the congress allows the deduction of 20% of small businesses to expire, an increase in massive taxes on small businesses will take effect, stifle growth, putting the brakes on hiring and endangering small businesses. With the deduction that expires this year, legislators must act quickly to protect small businesses and communities they support. ”
The tax deduction of 20% of small businesses, a key provision of the 2017 law on tax reductions and jobs, allowed millions of small businesses to develop, hire employees and increase wages. If the congress does not act to make it permanent this year, nine small companies out of 10 will face a significantly higher tax burden, threatening jobs and economic stability at the national level.
Follow the latest news from small companies in the Washington State in www.nfib.com or on x @nfib_wa or on facebook @ nfib.wa
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For more than 80 years, the NFIB has argued in the name of the small and independent American business owners, in Washington, DC, and in the 50 state capitals. NFIB is a non -profit association, non -partisan and focused on members. Since our foundation in 1943, NFIB has been exclusively dedicated to small independent companies and remains today. For more information, please visit Nfib.com.
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