The U.S. Chamber recently issued a statement applauding the U.S. House for passing the “Tax Relief for American Families and Workers Act of 2024,” which would make permanent several pro-growth tax reforms for American businesses that were first signed into law in 2017 and have provided a sizable boost in the nation’s economy. This includes a 20 percent pass-through deduction for businesses operating as sole proprietorships, partnerships, and S-corporations.
The House’s action comes at a critical time, as tax deductions that could become permanent under the bill (and were initially enacted with sweeping tax changes in 2017) are set to expire in 2025. The U.S. Chamber is warning that allowing the deduction to expire would amount to a tax increase on more than 22 million of the nation’s businesses, leading to less hiring, lower wages for workers, and a more challenging path to success for millions of
Americans.
“As tax filing season kicks off, we are glad to see the House come together in a bipartisan way to pass this legislation to support and bring much-needed tax certain to U.S. businesses,” Neil Bradley, Executive Vice President and Chief Policy Officer at the U.S. Chamber said. “Now, the Senate must move swiftly to consider this legislation and send it to the President’s desk to be signed into law.”
View this interactive map to see how a 20 percent pass-through deduction specifically impacts Pennsylvania.