Hoeven: Tax Relief Delivering Real Results for Hundreds of Thousands of North Dakota Taxpayers

MANDAN, N.D. – Senator John Hoeven today outlined the benefits of tax relief passed as part of the Working Families Tax Cut Act (WFTCA), also known as the One Big Beautiful Bill, for families and small businesses in North Dakota. Hoeven made the remarks as part of a roundtable with Representative Julie Fedorchak and members of the National Federation of Independent Business (NFIB). Hoeven highlighted how, with tax season now complete, North Dakotans are seeing firsthand how the legislation puts more money in their pockets, supporting families’ livelihoods and empowering businesses to invest more in their operations. Combined, the bill’s provisions preserve $4 trillion in tax relief, the majority of which benefit those earning under $400,000 per year, while preventing a $1,700 tax hike on the average family of four. For Families and Individuals: Permanently extends individual tax rates and bracket changes of the Tax Cuts and Jobs Act. The bill also further increases the standard deduction, which benefits and helps simplify income taxes for the vast majority of taxpayers. As a result of enhancements in the WFTCA, more than 345,000 families in North Dakota saw their standard deduction increase by $1,500. 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. This benefits more than 87,000 families in the state. 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 extends the Section 199A pass-through deduction for small businesses, farmers and ranchers, including the Section 199A(g) deduction used by agricultural cooperatives. This benefits nearly 72,000 small business owners in North Dakota. Increases the Section 179 expensing to $2.5 million and increases the phaseout for qualified property at $4 million. Establishes a 100 percent accelerated depreciation for new industrial and manufacturing facilities that begin construction between 2025-2028. Makes permanent the 30 percent interest expense allowance. Permanently extends the 100 percent research and development deduction. Makes permanent 100 percent bonus depreciation. “Hundreds of thousands of North Dakotans are paying lower taxes today because of the Working Families Tax Cut Act. That means our people are keeping more of their hard-earned money, have greater financial stability and can increase their standard of living, while our small businesses have more capital on hand to invest in the growth of their operations,” said Hoeven. “That’s a recipe for a strong and growing economy. Like we saw with the Tax Cuts and Jobs Act, which we passed during President Trump’s first term, economic growth generates more government revenue over the long-term so we can fund our priorities and reduce the debt and deficit. This pro-growth approach, whether from tax relief, reducing the regulatory burden or advancing U.S. energy dominance, is the right path forward for our nation.” -###-