Bill · H.R. 8755· House(119-HR-8755)
Enhanced Small Business Growth Act of 2026
- Introduced
- 5/12/2026
- Last activity
- 5/12/2026 — Referred to the House Committee on Ways and Means.
- Sponsored by
- Carol Miller
- Cosponsors
- None
- Introduced
- In Committee
What this bill would do
The "Enhanced Small Business Growth Act of 2026" aims to amend the Internal Revenue Code of 1986. It focuses on enhancing the qualified business income deduction specifically for domestic manufacturers. The bill introduces a new subsection for qualified domestic manufacturers to adjust certain percentages within the code. To qualify, a taxpayer must derive at least 85 percent of their qualified business income from a qualified domestic manufacturing trade or business. These changes are intended to apply to taxable years beginning after December 31, 2025.
Yes· 3 of 6
Does this cut taxes for small businesses?+7
The bill increases the qualified business income deduction for domestic manufacturers by raising specific deduction percentages.
Would business owners be better off under this?+7
Business owners in the domestic manufacturing sector benefit from increased tax deductions under this bill.
Does this make it easier to run a small business?+6
The bill provides targeted tax relief specifically for businesses engaged in domestic manufacturing.
The opposite
Would farmers be better off under this?-1
The bill's specific focus on manufacturing may not provide direct benefits to the agricultural sector.
Who it would affect, and how
Potential Positive Impacts for People
-
Increased Deductions for Manufacturers: Under Section 2(a)(1)(A), the bill substitutes '30 percent' for '20 percent' in subsections (a)(2) and (b)(2)(A), which serves to enhance the deduction for qualified domestic manufacturers.
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Higher Deduction Percentages: Under Section 2(a)(1)(A), the bill substitutes '100 percent' for '50 percent' in subsection (b)(2)(B)(i), providing a larger deduction for those who meet the criteria.
Potential Negative Impacts for People
-
Strict Qualification Requirements: To be considered a "qualified domestic manufacturer" under Section 2(a)(2)(A), a taxpayer must ensure that at least 85 percent of their combined qualified business income is derived from a qualified domestic manufacturing trade or business.
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Labor and Overhead Constraints: Under Section 2(a)(2)(B)(i), a business only qualifies if at least 20 percent of the cost of goods sold attributable to qualified gross receipts comes from labor and overhead expenses incurred within the United States.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Economy And Finance
- Reduces Small Business Taxes+7Improves Small Business Support+6Improves Economic Growth+3Increases Job Creation+2
- Demographic And Interest Groups
- Good For Business Owners+7Good For Rural Residents+3Good For Farmers-1
- 5/12/2026
- Referred to the House Committee on Ways and Means.
- Introduced in House