More than 1.1 million jobs in the manufacturing sector and nearly six million jobs overall will be lost if Congress fails to extend the Trump Tax Cuts in President Donald J. Trump’s One Big Beautiful Bill, according to a new report — negative effects on small businesses that are swift, severe, and completely avoidable.

Here are some key takeaways from the report:

• “More than 96% of businesses in America are organized as pass-throughs, meaning that they pay tax at individual income tax rates. Tax reform created a 20% deduction to allow these small businesses to compete on a level playing field with their peers organized as corporations … The pass-through deduction will expire completely at the end of 2025. A recent NAM survey found that 93% of pass-through manufacturers reported that the loss of this deduction will harm their ability to grow, create jobs and invest in their business.”
• “The combination of the reduction in the top rate and the 20% passthrough deduction resulted in significant tax savings for these small businesses—enabling them to invest in new equipment, machinery, facilities and job creation. More than 74% of manufacturers have fewer than 20 employees, so it is crucial to the sector that Congress preserve tax reform’s competitive tax rates for small businesses.”
• “If Congress does not act, accelerated depreciation will be entirely absent from the U.S. tax code for the first time in decades—limiting manufacturers’ ability to invest in the equipment and machinery they need to drive economic growth and job creation and making it more costly for businesses to invest in the U.S.”
• “More than 90% of businesses in America are family-owned. In the manufacturing industry, family-owned businesses are a critical part of the manufacturing supply chain and pillars of their local communities … The estate tax exemption threshold is scheduled to be reduced by half at the end of 2025, subjecting more family business assets to taxation and threatening the viability of these businesses when the owner passes away. Congress should protect family-owned manufacturers by preserving the increased exemption threshold.”

The post REPORT: Failure to Pass One Big Beautiful Bill Will Kill 1.1+ Million Manufacturing Jobs appeared first on The White House.

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