On Nov. 1, congressional leaders unveiled the Tax Credits and Jobs Act (H.R. 1) to rewrite our nation’s tax code. Based on our preliminary assessment of the proposal, this bill could do real damage to thousands of architecture firms and would eliminate incentives for good design.
The bill excludes professional services such as architecture firms from the same lower small business tax rates as other industries, essentially forcing them to pay higher taxes than other business types. The proposal also eliminates a significant number of deductions, credits, and other incentives like the Historic Tax Credit and the tax deduction for energy efficient commercial buildings (179D).
The combination of higher taxes on design firms and fewer incentives for good design could be devastating to architects and the communities they serve. It is imperative that you make your voice heard – please tell your representatives how these changes will affect you and your business.
Congressional leaders say they hope to pass this tax reform package by the end of the year. That’s why we are mobilizing now. Over the coming weeks, AIA will continue meeting with legislators in Washington, D.C. and engaging AIA members across the country as this proposal makes its way through the legislative process.
AIA President Tom Vonier, FAIA, issued a statement to the press laying out our principles and stating that we will not support any legislation that undercuts our role as a primary catalyst for job growth in the American economy.
How can you help?
You can make your voice heard now by sending a letter to your members of Congress to urge them to protect the tax provisions that affect you the most. Log into AIA’s Advocacy Center with your AIA unsername and password. Click on “Take Action” to send an email directly to your representatives.
Join the AIA Legislative Action Network (LAN) and receive in-depth, up to date information on this and other key issues. You’ll be invited to briefings and trainings that strengthen your advocacy activities and ensure you’re the first to know how federal legislation affects you.
The above information is from AIA National. If you’d like any additional information about the proposed tax reform changes, or you need help accessing AIA’s Legislative Action Network or sending an email to your member(s) of Congress, please contact AIA Washington Council Manager of Advocacy Kirsten Smith at firstname.lastname@example.org or 206-448-4938 x401.