Save Philly’s Small Businesses
There are over 122,000 small business owners and independent contractors in Philadelphia—these are restaurant owners, caregivers, gig workers, and creative entrepreneurs. Starting in 2026, they will face a massive tax increase due to a change to the city’s tax code. At the same time, the city is giving big businesses a tax break.
All while the cost of living is going up and the city can’t afford to fund public services like schools, parks, and libraries.
According to the Asian American Chamber of Commerce of Greater Philadelphia, there are more than 13,000 Asian businesses in Philadelphia—these include businesses like rideshare and delivery drivers; nail salons and nail salon workers; restaurants, barbershops, corner stores, food carts, non-union construction companies, and domestic workers.
API PA has been reaching out to immigrant-owned small businesses to ask how they’ll be impacted by these changes, and the answer is very clear: These changes to Philadelphia’s tax laws are going to seriously hurt our communities.
Own a small business or are an independent contractor? Use this tax calculator to see how much your taxes will go up this year.
What’s happening to my taxes?
For the last 10 years, small businesses in Philadelphia had a shield from the regressive Business Income and Receipts Tax (BIRT). That shield allowed them to start and grow into businesses that could support themselves, their families, their communities—and employ other Philadelphians. In 2026, that shield is gone.
122,000 Philadelphians who own small businesses are about to be hit with taxes that will make it much harder for them to keep their doors open.
Philadelphia must protect small businesses. We believe that the city should tax fairly and protect the backbone of our city's economy.
What Can We Do?
City Councilmember Mike Driscoll introduced legislation to exempt independent contractors, LLCs, and businesses that have only one employee from the city’s Business Income and Receipts Tax (BIRT). Are you an independent contractor or own a small business with one employee? Share your story with Philadelphia City Council.
Sign our petition below to ask City Council and Mayor Parker to Save Philly’s Small Businesses.
Sign the Petition
↓
Sign the Petition ↓
API PA is a member of the LIFT Coalition, a group made up of community-based organizations, small business owners, and the Philadelphia Chamber of Commerce.