SBA says 12 million small businesses got tax relief this year

On Tax Day, Wednesday, April 15, US Small Business Administration Regional Administrator Tyler Teresa visited Little Richards Barbeque in Winston-Salem to highlight the Trump administration’s Working Family Tax Cuts and their impact on small businesses during the height of filing season.

Teresa said the tax provisions have reduced tax burdens for roughly 12 million small businesses by an average of about $7,000 this tax season, framing the relief as a driver of hiring, reinvestment, and broader Main Street growth.

“This bill is super helpful for all small businesses across America, especially North Carolina,” Teresa said during a visit to the restaurant and meetings with local business owners and workers.

His stop is part of a broader effort by the Trump administration to highlight how tax policy changes are translating into real-world economic activity, particularly in states like North Carolina, where small businesses play a significant role in job creation and local economic development.

The Small Business Administration defines a small business as having fewer than 500 employees. By that definition, North Carolina’s economy is overwhelmingly small-business driven. The US Small Business Administration’s Office of Advocacy, reports that small businesses make up 99.6% of all companies in North Carolina and employ about 44% of the state’s private-sector workforce.

“The Working Family Tax Cut is the largest tax cut in American history, and it has been tremendous,” Teresa said. “We already delivered $220 billion in tax returns from this bill alone.”

“It stopped the largest tax hike in American history and actually brought in the largest tax savings in American history,” he added, referencing the scheduled expiration of the Tax Cuts and Jobs Act of 2017. That measure included individual income tax cuts that were set to expire after 2025. Without extension, tax rates would have automatically risen back up this year.

april 15 is the tax filing deadline

According to estimates released by the White House on April 15, the average refund this filing season is more than $3,400, which is 11% higher than 2025 and 19% higher than the average return over the prior 4 years.

According to the Internal Revenue Service, taxpayers who are unable to file by April 15 can request an automatic extension until Oct. 15, 2026, but must do so by the the April 15 deadline to avoid penalties. In an announcement sent to media Wednesday, the IRS emphasized that an extension to file does not extend the deadline to pay taxes owed, which remain due on April 15.

“An extension provides extra time to file, not additional time to pay,” the release reads. “Taxes owed are still due by April 15. To avoid or minimize penalties and interest, taxpayers should estimate their total tax liability, subtract any payments already made, and pay the remaining balance by the deadline.”

Tax Day has also become a broader policy marker, with organizations like the Tax Foundation using the date to highlight the scale of tax compliance and how tax policy changes affect households and businesses across the country.

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— Tax Foundation (@TaxFoundation) April 15, 2026

Against that backdrop, Teresa used the Winston-Salem visit to highlight provisions of the “One Big Beautiful Bill,” including 100% expensing for factory and equipment purchases, a permanent 20% small business deduction, and the elimination of taxes on tips and overtime pay. Administration officials argue those measures are designed to increase liquidity for small firms and encourage capital investment.

“The Small Business Administration is putting in programs and internet services to help these small businesses,” Teresa said in an interview with Carolina Journal. “We’re creating the new MARC program, which is the Manufacturing Access to Revolving Credit, which is really going to help these manufacturing companies.”

The Manufacturer’s Access to Revolving Credit (MARC) Loan Program (MARC) was launched by the SBA in September of 2025 to offer working capital for small businesses engaged in manufacturing.

tax calculator

The Tax Foundation also released a “tax calculator” last year for taxpayers to estimate the OBBB impact on their returns, plus an interactive map to check North Carolina’s tax rates against other states.

north carolina’s tax policy

The federal discussion on Tax Day also comes as North Carolina continues its own long-term shift in tax policy. According to the John Locke Foundation, the state began a sweeping income tax overhaul in 2013 that replaced a three-bracket system with a flatter structure and set in motion a series of gradual rate reductions. Since then, the personal income tax rate has fallen from 5.8% to 4.75% in 2023, with current law scheduling a further decline to 3.99% by 2026. The foundation argues the changes have improved North Carolina’s competitiveness and contributed to stronger economic performance relative to the pre-reform period, while broadening tax relief across income levels.

Supporters of the state’s approach say the sustained cuts have helped position North Carolina more favorably in regional business rankings and supported a more pro-growth environment for investment and job creation, and reduction of state debt, even as the tax base has expanded over time.

“North Carolina’s tax reforms since 2013 have vastly improved our state’s competitiveness and have provided billions in tax relief for workers over the years,” said Brian Balfour, VP of research at the John Locke Foundation. “North Carolina’s job and economic growth have improved since the reforms and have made us a regional leader outpacing national trends. In contrast to critics, revenue surpluses have been the norm over the past dozen years, reaching the billions in some years, as revenue is bolstered by the increasing economic activity. Such positive results should encourage lawmakers to keep the currently scheduled rate reductions in place moving forward.”

“SBA says 12 million small businesses got tax relief this year” was originally published on www.carolinajournal.com.