The top tax priority for printers in the coming years will be achieving comprehensive tax reform. This means that both individual and corporate taxes must be reformed in order to maximize the economic output of the printing and graphics communication industry.
Some steps have been taken toward achieving this goal. The deal struck at the very end of the 112th Congress to avoid the “fiscal cliff” included some, but not all, of printers’ priorities. Significantly, the permanent nature of the provisions in the tax package will provide much needed certainty to many businesses and families.
The plan permanently extended current lower tax rates for individuals making less than $400,000 and families with incomes below $450,000. Accordingly, many of the small businesses organized as S-corporations or other flow-through entities and pay taxes at the individual level did not see their tax rates go up. Similarly, the agreement avoided a significant increase in the estate tax burden on small businesses, and its permanent nature provides small businesses with certainty in planning costs moving forward. While the estate tax rate increased from 35 percent to 40 percent, the current $5 million exemption remains in place and will be indexed for inflation. The deal also permanently extends current policy on portability and unification.
Advocacy Letters and Documents
- LIFO Accounting Method in a Nutshell
- Pass Through Principles Letter to Congressional Leaders
- Family Business Estate Tax Coalition Letter Supporting Thune Bill
- Family Business Estate Tax Coalition Letter Supporting Brady/McIntyre Bill
- Comments on House Ways and Means Committee Small Business/Pass-Through Business Working Group