Nevada Small Business Tax Relief to Cut Costs in 2027
The proposed bill aims to save eligible Nevada small business owners up to $2,340 annually on payroll taxes.
Updated on Oct. 15, 2026 in Taxes
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Nevada Lieutenant Governor Stavros Anthony has proposed the Small Business Tax Relief Act of 2027 to lower tax burdens for smaller employers. The bill, which will be considered during the 2027 legislative session, seeks to expand eligibility for payroll tax exemptions.
Why it matters
By increasing the exemption threshold and staff cap, the proposal aims to provide financial relief to businesses looking to grow their payroll or boost employee wages. This change is designed to offset costs for smaller firms operating under the state's existing tax framework.
Eligible Nevada small businesses could save up to $2,340 annually under the proposed plan. A business with $100,000 in quarterly payroll would see its current $585 quarterly liability reduced to zero based on the 1.17% general business tax rate.
The players
Stavros Anthony
The Lieutenant Governor of Nevada who proposed the tax relief legislation.
The details
The proposal doubles the quarterly Modified Business Tax payroll exemption from $50,000 to $100,000 and raises the maximum employee headcount cap from 20 to 50. This relief would integrate directly into the existing Modified Business Tax filing process, requiring no new applications or separate bureaucratic approvals for business owners.
Timeline
2027 Legislative Session: The bill will be considered by lawmakers.
Money Landscape
This proposal sits within the state's established Modified Business Tax framework, which serves as a primary revenue source for Nevada. It follows a recurring policy cycle of adjusting tax thresholds to manage the cost of doing business for smaller entities.
Small business owners in Nevada should track the progress of this bill during the 2027 session to see if they qualify for the higher payroll exemption. Consult with a tax professional to evaluate how potential changes to your quarterly filing process could impact your annual business budget.
The takeaway
The proposed bill highlights a potential reduction in quarterly tax obligations for small-to-midsize employers. Business owners should monitor legislative updates in 2027 and review their current quarterly payroll figures to prepare for potential changes in tax liabilities.
Further reading
For more on state tax policies, see our guide to Nevada Taxes.
Source note: This article includes information reported by Kolotv.
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