Peace Garden News

The National Federation of Independent Business (NFIB) has introduced two digital tools aimed at helping small business owners, policymakers, and the public in North Dakota understand the implications of the 20% Small Business Tax Deduction. The focus is on highlighting its economic impact and what could happen if Congress does not make it permanent.

One tool is an interactive map that shows how extending the deduction could foster job creation and GDP growth across North Dakota's congressional districts. The other is a tax calculator designed to give small business owners personalized estimates of potential federal income tax increases in 2026 if the deduction expires.

“These new tools give small business owners and elected leaders in North Dakota real data about the economic stakes,” said NFIB North Dakota State Director Don Larson. “If Congress fails to act, millions of small businesses across the country—including right here in North Dakota—will face a massive tax hike. That means fewer jobs, less investment, and slower growth for our communities. The North Dakota Congressional Delegation fortunately recognizes this and supports making the 20% small business tax deduction permanent. We urge Congress to join our lawmakers and make the 20% Small Business Tax Deduction permanent.”

According to NFIB’s map, extending the deduction could lead to an increase of 7,330 jobs and $467 million in GDP for North Dakota over ten years. This district-level data helps local leaders grasp how their communities might benefit or suffer based on whether or not the deduction becomes permanent.

The tax calculator offers projections for individual business owners regarding potential tax increases if the deduction ends. For instance, a small business owner with a personal income of $75,000 and qualified business income of $150,000 might see a tax rise exceeding $13,000 depending on their financial profile.

NFIB also expressed approval for the U.S. House of Representatives' recent passage of the One Big Beautiful Act, which they describe as one of history's most pro-small-business legislative measures. They emphasize that Congress now has an opportunity to provide enduring tax relief to over 33 million small businesses.

For more information about these tools and NFIB’s efforts to support North Dakota's small businesses, visit www.SmallBusinessDeduction.com