Mobile Courant

U.S. Senator Tommy Tuberville of Alabama has collaborated with Senator Steve Daines from Montana to propose the Main Street Certainty Act, which aims to make permanent a 20% tax deduction for pass-through businesses introduced during the Trump administration in 2017. The proposed legislation seeks to prevent a significant tax increase on small businesses at the end of the year if these cuts expire.

"Small businesses are the backbone of the American economy," stated Sen. Tuberville. He emphasized that over 99% of Alabama's businesses are classified as small and should retain their earnings rather than surrender them to government taxation. Tuberville expressed hope that his colleagues would support this "commonsense legislation."

The bill has garnered support from several other U.S. Senators, including Jim Banks, John Barrasso, Marsha Blackburn, Katie Britt, Ted Budd, Shelley Moore Capito, Bill Cassidy, Tom Cotton, Kevin Cramer, Ted Cruz, Joni Ernst, Deb Fischer, Chuck Grassley, Bill Hagerty, John Hoeven, Cindy Hyde-Smith, Jim Justice, John Kennedy, James Lankford, Cynthia Lummis, Roger Marshall, Jerry Moran, Pete Ricketts , Jim Risch , Mike Rounds , Eric Schmitt , Tim Scott , Rick Scott , Tim Sheehy , Thom Tillis , Roger Wicker and Todd Young.

The National Association of Manufacturers and other organizations have endorsed this legislative effort. A letter supporting the act was signed by 230 individuals associated with it.

This tax deduction was initially part of President Trump's 2017 tax reforms aimed at balancing opportunities between small enterprises and larger corporations. According to a study by Ernst and Young (EY), this deduction supports economic activities involving 2.6 million jobs and contributes $325 billion to GDP.

Senator Tuberville has been an advocate for small business interests throughout his congressional career. Recently he reintroduced another piece of legislation aimed at repealing aspects of the Corporate Transparency Act (CTA) perceived as burdensome for small businesses.