Prairie State Wire

The National Federation of Independent Business (NFIB) has introduced two digital tools aimed at illustrating the economic impact of the 20% Small Business Tax Deduction in Illinois. These resources are designed to assist small business owners, policymakers, and the public in understanding the potential consequences if Congress does not make this deduction permanent.

One of the new tools is an interactive map that allows users to see how extending the Small Business Deduction could boost job creation and GDP growth across every congressional district in Illinois. Additionally, NFIB has launched a tax calculator for small business owners in Illinois to estimate their potential federal income tax increases if the deduction expires.

“These new tools give small business owners and elected leaders in Illinois real data about the economic stakes,” stated NFIB Illinois State Director Noah Finley. “If Congress fails to act, millions of small businesses across the country—including right here in Illinois—will face a massive tax hike. That means fewer jobs, less investment, and slower growth for our communities. We urge Congress to make the 20% Small Business Tax Deduction permanent.”

According to NFIB’s interactive map, extending the deduction could result in an increase of 92,711 jobs and $6.561 billion in GDP over ten years for Illinois. The district-level data provides lawmakers with insights into how local businesses might benefit from making this tax deduction permanent or what they might lose if it is not extended.

The tax calculator offers projections for individual small business owners on potential tax increases without an extension of the deduction. For instance, a small business owner with a personal income of $75,000 and qualified business income of $150,000 might face a tax increase exceeding $13,000 based on their financial situation.

NFIB also commends the U.S. House of Representatives for passing the One Big Beautiful Act today. This legislation is regarded as one of the most supportive measures for small businesses recently passed by Congress, offering over 33 million small business owners potential permanent tax relief.

For more information on these tools and NFIB's efforts to support Illinois' small businesses, visit www.SmallBusinessDeduction.com