The plan, which represents a tenfold increase from the current $5,000 deduction, will be announced at a campaign event in New Hampshire on Wednesday, as Harris kicks off the post-Labor Day sprint to Election Day.

Under the proposal, newly established small businesses will have flexibility in utilizing the deduction. They can either spread it out over multiple years or choose to claim it once the company starts turning a profit. This approach intends to provide much-needed financial relief to startups, especially during their initial years of operation when expenses can be overwhelming.

Notably, the Internal Revenue Service (IRS) has previously encountered challenges in ensuring that tax breaks for small businesses are effectively directed to the intended recipients. The pandemic further exacerbated this issue, with the IRS facing a surge in fraudulent claims. However, specific details regarding which startups and small businesses would qualify for this tax deduction have not been clarified by the Harris campaign.

In addition to the tax deduction proposal, Harris will also set an ambitious goal of collecting 25 million new small business applications during her first term as president, surpassing the current record by six million. This initiative aims to stimulate entrepreneurship and job creation across the country.

The unveiling of these plans will provide Harris with ammunition for the upcoming debate against Republican presidential nominee, Donald Trump, scheduled for September 10 and hosted by ABC News. Trump has consistently positioned himself as the candidate with better policies for businesses while criticizing Harris' economic record.

Harris has been rapidly developing her economic platform since becoming the Democratic presidential nominee, with a focus on addressing the high costs of living. Her proposals have tackled affordability issues related to housing, groceries, prescription drugs, child care, and healthcare. It's worth noting that Harris' call to ban "price gouging" in the food industry has faced backlash from some economists and the business community.

On the other hand, Trump has long presented himself as a candidate in favor of big business, emphasizing the permanence of his first-term tax cuts and advocating for a lower corporate tax rate.

By prioritizing small businesses with her tax deduction proposal, Harris aims to navigate Trump's attacks while remaining committed to her stance against corporate greed. However, there are remaining questions about Harris' approach to business regulation, particularly regarding how she would address antitrust enforcement. Some of her supporters on Wall Street anticipate a more business-friendly approach from Harris compared to Biden.

As the campaign unfolds, the focus on small businesses and economic policies will undoubtedly shape the future of the 2020 presidential election, with voters closely evaluating which candidate offers the most effective support for entrepreneurship and job growth.