President Trump signed his "One Big Beautiful Bill Act" [OBBBA] into law on July 4. The massive tax and spending legislation aims to provide big tax relief to businesses and workers.
Notable changes on tax codes listed in the law include a permanent extension of tax rates enacted during the first Trump administration, an increase in the standard deduction, and an increase to state and local tax deduction allowances.
Republican U.S. Rep. Darin LaHood, who represents parts of Bloomington-Normal, met Tuesday with the U.S. Chamber of Commerce and McLean County Chamber members to discuss the changes.
The meeting was the 43rd roundtable meeting for the U.S. Chamber of Commerce this year, as the organization is attending roundtables across the country.
LaHood, who voted for the bill, said key subjects in Tuesday’s meeting included the 199A deduction that allows non-corporate taxpayers to deduct as much as 20% of their income, bonus depreciation for eligible businesses and research and development tax credits.
“Those are really monumental in terms of creating predictability and certainty for small and medium-sized businesses to flourish and prosper,” said LaHood, adding the majority of small businesses, including family-owned farms, will fall under the state tax provisions.
LaHood noted the measure adds work requirements for non-disabled citizens in the Supplemental Nutrition Assistance Program [SNAP] and from receiving Medicaid benefits.
“We saw during COVID, we added a lot of people. We believe if you’re an able-bodied adult, you should get a job and should get removed from SNAP,” LaHood said.
According to the U.S. Department of Agriculture data in 2023, more than 80% of SNAP beneficiaries were working families, people with disabilities or seniors.
LaHood blamed the policies of Illinois Gov. JB Pritzker for energy and insurance sector rate increases in Illinois. He said Pritzker and Democratic party regulation have added costs for customers.
“What I hope with the [OBBBA] and the provisions that we’ve put in place will allow for energy independence, more energy production and set the stage for a tax regimen that will be positive,” he said.
Chamber of Commerce members came away from the meeting feeling positive.
“I feel very positive that this bill’s going to have a pro-growth impact on the economy," said Kevin Courtois, vice president of the Great Lakes regional office for the U.S. Chamber of Commerce. "The certainty that it provides is what businesses need — and also the ability for businesses to use revenue that they’re generating to reinvest in their businesses, communities and in their employees."
Courtois said Tuesday’s roundtable was the first one he’d attended since the OBBBA was passed earlier this month.
“Without this bill, we were going to experience the largest tax increase in American history, and fortunately our tax hike was avoided by Congress taking action here,” said Courtois, adding businesses are suffering under current tax laws.
“The expiring provisions that were created by the 2017 Tax Cuts and Jobs Act that had real pro-growth results ... a lot of businesses were holding off on making decisions. Now that they know what the tax code will be moving forward — because Congress did act and made these provisions permanent — they can make those investments,” Courtois said.
Courtois said the U.S. Chamber of Commerce has heard positive feedback from businesses at roundtables across the country, including from the McLean County Chamber of Commerce.
“What I heard resoundingly today was gratitude and appreciation for what Congress did with this bill,” Courtois said.
