Congressman Greg Steube (R-FL-17), vice chair of the U.S. House Ways and Means Committee’s Main Street Tax Team, met with ICSC, members of Southwest Florida’s local business community, the Wine & Spirits Wholesalers of America (WSWA) and the National Roofing Contractors Association (NRCA) on June 20, in Sarasota, FL.
The meeting included a tour to the new Mote Aquarium construction site followed by a roundtable discussion on the importance of making the 20% pass-through deduction permanent. Steube is an original cosponsor of the House 199A permanence bill, the Main Street Tax Certainty Act, H.R. 4721.
Section 199A of the tax code, which is slated to expire in 2025, was adopted as part of President Donald Trump’s 2017 Tax Cuts and Jobs Act (TCJA). It allows for a 20% deduction of qualified income for pass-through businesses. Most small business are structured as pass-throughs and this section was included equalize the tax rate paid by pass-through businesses with the corporate rate, which was permanently lowered to 20%
On April 24, the Ways and Means Committee announced the formation of 10 Tax Teams, comprised of Ways and Means Republican members, to study key tax provisions set to expire. Some estimates to extend all of the expiring TJCA exceed $5 trillion over 10 years.
The steep price tag combined with renewed attention on the federal debt create an “everything is on the table” environment, particularly with respect to tax changes that would raise revenue, like limiting like-kind exchanges, increasing taxes on carried interest/the promote, and ending steeped-up basis and taxing unrealized gains at death.
If you would like to be involved with ICSC’s tax education efforts, please reach out to gpp@icsc.com.
