Evergreen Reporter

Small businesses across the United States are grappling with numerous challenges this Labor Day. The ongoing effects of the COVID-19 pandemic have left lasting issues, including supply-chain disruptions, inflation, and worker shortages. According to a survey by the National Federation of Independent Business (NFIB), 91% of small business owners reported working additional hours to cope with labor shortages.

Adding to these difficulties is the Corporate Transparency Act, which requires small business owners and their senior employees to register personal information with the Financial Crimes Enforcement Network. Jeff Brabant, NFIB’s vice president of federal governmental relations, has called for Congress to repeal this act. He warns that "more than 32 million small businesses are facing potential ruin — not just of their livelihood but also of their personal freedom."

Another pressing concern for small businesses is the potential expiration of the 20% tax deduction established by the 2017 Tax Cuts and Jobs Act. This deduction is set to expire in 2025 unless Congress acts to make it permanent. NFIB President Brad Close cautions that without action, "Main Street will face an unprecedented tax hike." He urges Congress to pass the bipartisan Main Street Tax Certainty Act, stating that making the deduction permanent would enable "90% of local businesses" to invest more in their workers and communities.

State-level policies also pose challenges for small business owners. Minimum-wage rates vary widely among states, often complicating matters for employers who view these wages as entry-level pay primarily for teens or young adults.

Despite these hurdles, small business owners continue to persevere. Their resilience remains crucial as a healthy small business sector is vital for a robust economy.