Increases the deduction for qualified business income to 23 percent.

The Small Business Tax Cut Act amends the Internal Revenue Code to increase the deduction for qualified business income from 20 percent to 23 percent. It defines "qualified BDC interest dividend" as any dividend from an electing business development company received during the taxable year which is attributable to net interest income properly allocable to a qualified trade or business. The bill modifies the inflation adjustment and the deduction for qualified business income to apply to certain interest dividends of qualified business development companies.

Increases the deduction for qualified business income to 23 percent.

The Small Business Tax Cut Act amends the Internal Revenue Code to increase the deduction for qualified business income from 20 percent to 23 percent. It defines "qualified BDC interest dividend" as any dividend from an electing business development company received during the taxable year which is attributable to net interest income properly allocable to a qualified trade or business. The bill modifies the inflation adjustment and the deduction for qualified business income to apply to certain interest dividends of qualified business development companies.