199A TCJA - The S Corporation Association

Congressman Steube Hosts Main Street Employers Roundtable

More than 20 business owners and members of the Main Street Employers Coalition convened in Sarasota, Florida yesterday for a roundtable discussion with Congressman Greg Steube. The key topic – the Section 199A deduction – was one that’s near and dear to the hearts of tens of millions of Main Street businesses nationwide, yet is scheduled to sunset at the end of next year.

The businesses at the event were a microcosm of the broader Main Street community nationwide and represented a wide array of sizes and industries. On hand were …

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admin2024-06-21T13:59:47+00:00June 21, 2024|

Main Street 199A Resources

Back in 2021, we posted all the studies and other information we’d compiled demonstrating the outsized role family businesses and other pass-through employers play in the American economy. These businesses earn the majority of business income and they employ more than six in ten private sector workers. Any conversation about the economy and American competitiveness needs to start with them.

That post was part of the fight over the Build Back Better Act, legislation that would have literally taxed many family businesses out of existence. We won that fight, but now face yet another existential …

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admin2024-06-20T18:52:35+00:00June 20, 2024|

How Much is Fair?

Yesterday’s Senate Budget Committee hearing produced an interesting exchange that caught our attention. The hearing was entitled “Making Wall Street Pay Its Fair Share,” but when it came to defining exactly what “fair” means, the supposedly expert majority witnesses dissolved into an incoherent, dissembling mob.

It all started when Senator Ron Johnson (R-WI) posed the question to the first committee witness, Sarah Anderson from the Institute for Policy Studies:

Sen. Johnson: What percentage of an American’s income should the federal government be able to extract? What’s the maximum tax rate?

Anderson: I’d be happy to give you my preferred top marginal …

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admin2024-06-13T22:16:34+00:00June 13, 2024|

The “Experts” Get 199A Wrong, Part 2

We like Marty Sullivan. He always has something interesting to say. His latest piece criticizing Section 199A is a bit of a disappointment, however.

Where to start? Marty says the pass-through community was “seething” following the resolution of the 2012 fiscal cliff – we weren’t. He says family businesses can just elect to be C corps if they don’t like paying higher rates – except they pay more either way (we’ve covered that one many, many times). And he says we should reject 199A because it excludes certain industries – wasn’t our idea.

But those are quibbles. …

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admin2024-06-05T17:54:25+00:00June 5, 2024|

The Bull Case for a Bipartisan Fiscal Cliff Deal

For years we’ve been sounding the alarm over the 2025 “fiscal cliff,” a watershed moment that will force lawmakers to address a litany of expiring tax provisions or risk a massive tax hike on families and Main Street businesses. Below is a look at what’s at stake for Main Street businesses and our bull case for Congress taking action next year.

Sunsets and Families

One TCJA myth is that it benefited big corporates and billionaires only. That’s simply not true. Much of the tax relief targeted at corporations and wealthy individuals was paired with significant revenue raisers, while the tax relief targeting …

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admin2024-05-20T13:30:13+00:00May 20, 2024|