Sooner State News

In a recent episode of the "Small Business Rundown" podcast, NFIB members Derrick Roberts and James Tyson discussed the impact of the 20% Small Business Tax Deduction on their business and potential consequences if Congress allows it to expire.

Roberts and Tyson operate a residential and commercial electrical contracting company in Choctaw, Oklahoma. Tyson highlighted the benefits of the deduction: “We’ve had the pleasure of using this 20% tax deduction to grow our business two-fold, year after year after year,” he said. He further explained that for 2023, the deduction saved them over $24,000, which was crucial for keeping their business operational.

The tax savings have also allowed Roberts and Tyson to invest in employee training programs. However, Roberts warned that these opportunities would be among the first to be cut if the deduction ends: “Training would unfortunately be one of the first things to go,” he stated.

Tyson cautioned that customers might face increased prices if the deduction expires: “If we get a 20% tax hike if this deduction doesn’t get renewed or made permanent, ultimately that cost gets passed on to our consumer base.” He emphasized how this could exacerbate existing challenges in the housing market.

Their appearance on the podcast coincided with their attendance at NFIB’s Small Business Deduction Summit. During this event, attendees engaged with members of Congress to advocate for making the deduction permanent.

The full episode is available for listening online.