SBE Council Marks Tax Day by Celebrating Small Business Tax Relief in “Working Families Tax Cuts Act”

By SBE Council at 15 April, 2026, 7:00 am

NEWS
For Immediate Release

Washington, D.C. - This Tax Day, the Small Business & Entrepreneurship Council (SBE Council) is hailing the permanent tax relief and financial boost delivered to entrepreneurs and small businesses through the "Working Families Tax Cuts Act" (One Big Beautiful Bill) advanced by Republicans in Congress and signed by President Trump in July of 2025. The tax package is providing certainty, relief, and investment incentives that are strengthening the competitiveness, innovative capacity, and resiliency of American small businesses.

"This year's tax filing deadline has arrived with less trepidation through meaningful relief, less paperwork, and more certainty for small businesses thanks to the Working Families Tax Cuts Act," said Karen Kerrigan, President & CEO of SBE Council. "Permanency is powerful and is allowing entrepreneurs and small business owners to more effectively plan, which means more confidence and risk-taking when it comes to expansion, hiring and growth. President Trump and Congressional Republicans sent a clear message to entrepreneurs and Main Street businesses through the many positive measures that were strengthened, added, and made permanent in the historic package - that their hard work and innovation matter to our economy and its vitality."

The value and impact of the Working Families Tax Cuts Act are embodied in a recently introduced House resolution, which SBE Council strongly supports. Kerrigan noted some of the key provisions in the Working Families Tax Cuts Act that are bolstering U.S. entrepreneurship and small business growth:

● Permanent 20% small business deduction, giving millions of small businesses certainty and resources they can reinvest in growth.

● Permanent lower individual tax rates, as most small businesses file as individuals.

● Restoration of 100% bonus depreciation, allowing businesses to immediately expense qualifying investments and reduce the cost of expansion.

● Immediate R&D expensing, restored retroactively for eligible small firm firms, helping innovators and startups invest more confidently in research and development.

● Expanded Section 179 expensing, increasing first-year expensing for equipment, machinery, and qualifying property to $2.5 million, with a $4 million phase-out threshold.

● Permanent, higher death tax exemption, providing certainty and protecting family-owned businesses, farms, and ranches from harmful tax burdens that can threaten succession and continuity.

● Reversal of the overly broad 1099-K rule, restoring the prior threshold thereby preventing millions of taxpayers from being flooded with unnecessary IRS forms. The bill included other measures to cut the paperwork burden.

Survey research from SBE Council shows the Act is making a big difference for small businesses. In SBE Council's most recent poll, 61% of small business owners reported positive cash-flow effects from the tax cuts in 2025, with the permanency of the 20% small business deduction and lower individual tax rates cited as among the most beneficial provisions contributing to improved financial performance. Looking ahead, 73% of small business owners anticipate that the tax provisions will positively impact their businesses, primarily through improved cash flow, stronger financial stability, and enhanced price and business competitiveness. In addition, 78% of small business owners said they are currently benefiting from at least one provision in the law, while many continue to absorb and utilize the reforms in 2026.

SBE Council also applauds several additional provisions that are important to America's entrepreneurs and workers, including Trump Accounts, which many small business employers are exploring as a new employee benefit, andNo Tax on Tips, which delivers meaningful relief to tipped workers and self-employed individuals receiving qualified tips. These provisions further strengthen the law's impact by supporting workers, encouraging savings, and expanding opportunity across Main Street America.

Kerrigan added: "From startups to established businesses, the Working Families Tax Cuts Act is working for small businesses across industries and at various stages of their development. At a time of rising entrepreneurship and increased reliance on flexible and independent work, policies that reward work, reduce tax complexity, and expand savings opportunities are more important than ever. The Working Families Tax Cuts Act is providing the predictability and resources that individuals need to take risks, start businesses, and grow them over time. The U.S. economy is much stronger thanks to the leadership of President Trump and Republicans in Congress in developing and advancing this important bill."

Contact: Karen Kerrigan, [email protected]

SBE Council is a nonpartisan advocacy, research and education organization dedicated to protecting small business and promoting entrepreneurship. For more than 30 years, SBE Council has worked on and advanced a range of private sector and public policy initiatives to strengthen the ecosystem for strong startup activity and small business growth. Visit www.sbecouncil.org for additional information. Twitter: @SBECouncil

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