From Tax Breaks to Tariffs, U.S. Chamber Outlines Key Federal Policies for Small Businesses

The 2025 Oregon Legislative Session may be winding down, but Chris Eyler, Vice President of Congressional and Public Affairs for the U.S. Chamber of Commerce, says business is starting to...

From Tax Breaks to Tariffs, U.S. Chamber Outlines Key Federal Policies for Small Businesses

The 2025 Oregon Legislative Session may be winding down, but Chris Eyler, Vice President of Congressional and Public Affairs for the U.S. Chamber of Commerce, says business is starting to pick up in Washington, D.C.

As state lawmakers prepare to adjourn in June, Eyler said Congress has a broad to-do list this summer that could significantly impact local businesses. He outlined several priorities during a presentation to the Salem Area Chamber of Commerce on May 12, from lobbying to extend the 2017 Tax Cuts and Jobs Act to persuading President Donald Trump to provide tariff relief for U.S. companies — especially small manufacturers that rely on international supply chains.

The Salem Chamber hosted Eyler as part of its monthly Forum Speaker Series to discuss how new federal policies are affecting the business community. Eyler has previously worked as a legislative assistant and staff counsel on the Senate Health, Education, Labor, and Pensions Committee, giving him an insider’s perspective on Capitol Hill.

GOP Control ‘Tenuous’

The first order of business, Eyler said, came in March when Congress passed a continuing resolution to fund the government through Sept. 30, averting a potential shutdown.


The next big hurdle, however, is coming fast and will be much more difficult to clear.

Treasury Secretary Scott Bessent recently cautioned in a letter to House Majority Leader Mike Johnson that, unless Congress raises or suspends the nation’s debt ceiling, the U.S. could default by August. House Republicans have unveiled plans to raise the debt ceiling by $4 trillion as part of a larger tax bill, though Eyler said passing the bill is no sure bet.

Despite Republicans controlling both chambers of Congress following the 2024 election, Eyler said that control is “tenuous.” The House Republican Caucus is sharply divided, he said, and Johnson can only afford to lose two of his members on any given vote.

That could become tricky as a number of more conservative members in the House Freedom Caucus have called for deeper budget cuts before they would approve the tax bill.

“There are a number of different opinions when it comes to fiscal matters in particular,” Eyler said, which will need to be worked out ahead of the hard August deadline.

Tax Breaks to Expire

Republicans are attempting to raise the debt ceiling without support from Democrats through a process known as “budget reconciliation,” meaning it could pass by a simple majority in the Senate — sidestepping the usual 60-vote filibuster.

Part of the bill would also include extending the 2017 Tax Cuts and Jobs Act, which Eyler said is the business community’s top priority. One key element allows owners of “pass-through” businesses to deduct 20% of their qualified business income when calculating their taxes. These are businesses where profits pass directly to the owner’s personal tax return, instead of being taxed at the corporate level.

Pass-through businesses account for 54% of Oregon’s private sector employment, and the 20% deduction has added up to nearly $3 billion in collective benefits. In Salem, they include everything from construction contractors and medical practices to boutique retailers and agricultural operations — all of which could see higher taxes if the 2017 law is left to expire, Eyler said.

“It’s extraordinarily important that this tax deduction is extended,” he said. “We simply cannot afford taxes going up across the board on individuals and businesses.”

Exemptions from Tariffs

Eyler also highlighted new tariffs imposed by the Trump administration since the beginning of the year, which he said are only hurting U.S. manufacturers.

“These are nothing more than taxes on you and me,” he said.

The situation with tariffs remains fluid. Earlier in the day on May 12, the U.S. and China agreed to slash tariffs for 90 days amid ongoing negotiations.

Small businesses especially do not have the cash or sophistication to navigate tariff impacts, Eyler said. The cost of tariffs on those small businesses had reached $29.8 billion while continuing to grow by $9,379 every second between April 2 and May 12, he said.

In Oregon, trade supports 510,000 jobs and $36 billion in exported goods and services. Top trade partners include Mexico, China, and Canada.

“We don’t expect the President to do a 100% about-face,” Eyler said. “But we are urging him to take steps to mitigate some of the harm we are seeing inflicted on small businesses.”

That could include exempting certain products from tariffs that otherwise can’t be produced to meet demand in the U.S. — such as coffee — or creating an expedited process where companies could apply for exclusion if there is a “real risk” to employment.

“We are working with the administration to try and meet them halfway,” Eyler said.

While decisions made at the federal level may seem distant, what happens next will have real and lasting effects on local businesses. Whether it’s a family-run vineyard in West Salem, a specialty coffee roaster on Commercial Street, or a contractor building new homes off Kuebler Boulevard, these policies will impact hiring, prices, and long-term investment across the Mid-Willamette Valley.