07.02.25

Hoeven Outlines Permanent Tax Relief for American Families, Workers & Small Businesses

One Big Beautiful Bill Preserves & Expands Tax Breaks for Low- and Middle-Income Households, Empowers Small Businesses, Farmers & Ranchers to Invest in Their Operations

BISMARCK, N.D. – Senator John Hoeven today held a press conference with local business leaders and community members to discuss the benefits of the One Big Beautiful Bill (OBBB) to families and small businesses in North Dakota. Hoeven stressed the legislation maintains and expands tax benefits for low- and middle-income households, reduces the tax burden on workers and boosts the U.S. economy. Combined, the bill’s provisions:

  • Preserve $4 trillion in tax relief.
  • Will increase take-home pay by up to $10,900 in the first four years for the typical family, resulting from economic growth and tax relief.

For Families and Individuals:

  • Permanently extends current individual tax rates and bracket changes of the Tax Cuts and Jobs Act.
    • This includes maintaining the increased standard deduction, which benefits, and helps simplify income taxes for, the vast majority of taxpayers.
  • Eliminates taxes on tips and overtime for millions of American workers.
  • Supports families by increasing and making permanent the enhanced child tax credit at $2,200, with $1,700 of that amount being refundable, adjusted for inflation.
  • Provides permanent relief from the death tax by setting the exemption to $15 million or $30 million for those married filing jointly, adjusted for inflation.
  • Establishes savings accounts for newborns to help build financial security.
  • Creates a new $6,000 tax deduction for millions of low- and middle-income seniors.
    • Combined with other deductions, this will result in the average beneficiary paying zero taxes on Social Security.

For Small Businesses:

  • Permanently extending the Section 199A pass-through deduction for small businesses, farmers and ranchers, including the Section 199A(g) deduction used by agricultural cooperatives.
  • Increasing the Section 179 expensing to $2.5 million and increasing the phaseout for qualified property at $4 million.
  • Establishing a 100 percent accelerated depreciation for new industrial and manufacturing facilities that begin construction between 2025-2028.
  • Making permanent the 30 percent interest expense allowance.
  • Permanently extending the 100 percent research and development deduction.
  • Making permanent 100 percent bonus depreciation.

“At its core, the tax provisions in the One Big Beautiful Bill are about allowing American workers and small businesses to keep more of their hard-earned money,” said Hoeven. “We worked to ensure this legislation provides trillions in tax relief for everyday Americans on a permanent basis. This includes preserving a higher standard deduction, expanding benefits for families with children and eliminating taxes on tips, overtime and Social Security for millions of workers and seniors, respectively. This will not only increase the quality of life for households throughout our country, but it will strengthen our economy by enabling businesses to invest in their operations, recoup their costs and create good-paying jobs across sectors.”

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