Tax Policy - The S Corporation Association

S-CORP Submits Excess Loss Comments

As part of the on-going Tax Team process in the House, the S Corporation Association today submitted comments focused on the Section 461(l) Excess Loss Limitation provision created by the Tax Cuts and Jobs Act (TCJA). This provision targeted pass-through businesses solely and has been the subject of much controversy, most particularly due to the wildly inaccurate scoring that accompanied the provision’s consideration by Congress.

S-Corp has been critical of Section 461(l) from its inception, both as a response to its lack of a solid policy justification – what problem was it trying to solve? — and to …

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admin2024-09-24T17:15:38+00:00September 24, 2024|

S-Corp Submits Comments to Main Street Tax Team

Another update on the Ways & Means “Tax Team” front. The S Corporation Association today submitted its comments making the case for fair treatment of pass-through businesses, including a permanent Section 199A pass-through deduction. The letter is addressed to the Main Street Tax Team, one of ten teams organized by Ways & Means Chairman Jason Smith to identify solutions to the 2025 fiscal cliff, and it covers the various key aspects of how pass-through businesses should be treated under the Tax Code. As the letter begins:

The United States is unique among developed countries in the emphasis it places on pass-through …

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admin2024-09-17T17:30:21+00:00September 17, 2024|

S-CORP Briefs Tax Team on 199A Study

Earlier today S-CORP President Brian Reardon was on Capitol Hill to brief members of the Main Street Tax Team on our new study that quantifies the economic footprint of the Section 199A deduction.

Congressman Lloyd Smucker, Chair of the Main Street Tax Team and lead sponsor of our 199A permanence bill in the House, led the meeting and was joined by Representatives Ron Estes of Kansas, Greg Murphy of North Carolina, and Kevin Hern of Oklahoma. Representative Murphy recently hosted us for a roundtable event in his home state of …

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admin2024-09-10T18:05:02+00:00September 10, 2024|

Millions of Jobs at Risk without Section 199A

Today, S-Corp released its latest study in support of the Section 199A deduction for small and family-owned businesses. Authored by Robert Carroll at EY, the study focuses on the economic footprint of the 199A deduction and answers the question: “Just how much economic activity is supported by Section 199A?”

You can access the full report here: As it states:

This report estimates the US economic activity – jobs, employee compensation, and gross domestic product (GDP) – supported by the Section 199A deduction in 2024. Specifically, this analysis provides a snapshot of the economic activity supported at businesses directly benefitting from the …

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admin2024-10-10T15:42:09+00:00September 9, 2024|

Smucker Leads 199A Roundtable in Pennsylvania

Yesterday, S-Corp and its Main Street allies headed to southern Pennsylvania for a Tax Team event hosted by Representative Lloyd Smucker. Smucker represents the state’s eleventh congressional district and also serves as the Chair of the Main Street Tax Team. Yesterday’s event was part of the process initiated by Ways & Means Chairman Jason Smith (R-MO) to create various Tax Teams tasked with identifying legislative solutions to avert the 2025 fiscal cliff.

Attended by several dozen local business owners, congressional staff, press, and national trade association representatives, the event kicked off …

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admin2024-08-02T12:32:46+00:00August 2, 2024|