The National Federation of Independent Business (NFIB) has introduced two digital tools aimed at helping small business owners, policymakers, and the public in Hawaii understand the economic impact of the 20% Small Business Tax Deduction. The tools are designed to highlight what could be lost if Congress does not make this deduction permanent.
The first tool is an interactive map that shows potential job creation and GDP growth in Hawaii’s congressional districts if the Small Business Deduction is extended. Additionally, NFIB has launched a tax calculator to help small business owners estimate how much more they might owe in federal income taxes in 2026 should the deduction expire.
“These new tools put real data in the hands of small business owners, policymakers, and the public,” said NFIB President Brad Close. “They make it clear what’s at stake if Congress fails to act: fewer jobs, less investment, and slower economic growth in communities across America. A massive tax hike is on the horizon for millions of small businesses, creating tremendous uncertainty. Congress must act now to make the 20% Small Business Tax Deduction permanent.”
NFIB also acknowledged the passage of the One Big Beautiful Act by the United States House of Representatives. This legislation is considered one of the most pro-small business measures recently proposed, offering significant tax relief to over 33 million small business owners.
According to NFIB’s interactive map data, extending this deduction could result in an increase of 7,479 jobs and $432 million in GDP for Hawaii over ten years. The district-level data provide lawmakers with insights into how local businesses would benefit from making this tax deduction permanent or suffer losses if it lapses.
The tax calculator offers projections for individual small business owners regarding potential tax increases without an extension. For instance, a Hawaii-based owner with a personal income of $75,000 and qualified business income of $150,000 might face a tax hike exceeding $13,000 based on their financial profile.
For further details on these tools and NFIB’s efforts to support Hawaii’s small businesses, visit www.SmallBusinessDeduction.com.
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