Federal
HR 110 Would Permanently Extend Bush-Era Tax Cuts for Small Businesses
HR 110, the Small Business Prosperity Act of 2025, was introduced in the House and referred to the Committee on Ways and Means. The bill aims to make permanent certain tax provisions originally enacted in the early 2000s that are currently set to expire, specifically as they apply to small businesses. No committee vote or floor action has been taken yet.
✓ REASONS TO SUPPORT
- Small business owners could face a lower, more predictable tax burden, making it easier to plan finances and investments year to year
- Permanent tax rules remove uncertainty for small business owners who currently must plan around provisions that may expire
- Lower taxes on small businesses could free up money to hire employees or raise wages
- Small businesses, which often lack large legal and accounting teams, could benefit from a simpler, stable tax code
✕ REASONS TO OPPOSE
- Making these tax cuts permanent could reduce federal revenue, potentially leading to cuts in public services or increases in the national debt
- Critics argue that tax cuts framed as helping small businesses may also benefit larger or wealthier firms, concentrating gains at the top
- If the provisions were always meant to be temporary, allowing them to expire returns the tax code to its intended baseline without new legislation
- The lost revenue could limit the government's ability to fund programs that small businesses and their employees rely on, such as infrastructure or workforce training
Read the full bill ↗
Send a postcard to your representatives