As a journalist, I am happy to report on the impact of tax reform on small business owners. Tax reform has been a hot topic in recent years, with many changes being made to the tax code that affect businesses of all sizes. Small business owners, in particular, have been paying close attention to these changes, as they can have a significant impact on their bottom line.

One of the most significant changes to the tax code in recent years was the Tax Cuts and Jobs Act of 2017. This legislation lowered the corporate tax rate from 35% to 21%, which was a significant reduction for many businesses. However, small business owners who operate as pass-through entities, such as sole proprietorships, partnerships, and S corporations, did not see the same level of tax relief.

While the Tax Cuts and Jobs Act did include a provision that allowed pass-through entities to deduct up to 20% of their qualified business income, this deduction was subject to certain limitations and phase-outs. As a result, many small business owners did not see a significant reduction in their tax burden.

Despite these limitations, some small business owners have reported that the tax reform has had a positive impact on their businesses. For example, some have been able to invest in new equipment or hire additional employees thanks to the tax savings they have realized. Others have been able to increase their salaries or offer bonuses to their employees.

However, not all small business owners have seen a positive impact from the tax reform. Some have reported that the limitations on the pass-through deduction have made it difficult for them to take advantage of the tax savings. Others have reported that the reduction in certain deductions, such as the state and local tax deduction, has actually increased their tax burden.

Overall, the impact of tax reform on small business owners has been mixed. While some have seen a positive impact on their bottom line, others have struggled to take advantage of the tax savings. As a journalist, it is important to continue to monitor the impact of tax reform on small businesses and report on any new developments or changes to the tax code that may affect them.