Senate Tax Reform Measure Has Improved Substantially But Lack Of Infrastructure investments Remains Problematic
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Stephen E. Sandherr, CEO of AGC of America released a statement December 1, 2017 in connection with the proposed Senate Tax Reform measure: "The association has long advocated for comprehensive tax reform, especially considering that construction employers pay the highest effective rate of any industry at 30.3 percent. The Senate tax reform bill has been substantially improved over the course of the past few days and we support its passage.
"It is important to note that most construction firms are organized as pass-through entities, such as S corporations and partnerships that are taxed at personal rather than corporate tax rates. While the Senate proposal has wisely increased the pass-through deduction from 17.4 percent to 23 percent, the fact that the cut is temporary is concerning. We also remain disappointed that infrastructure was largely overlooked in the tax reform process. This is a missed opportunity."
"It is important to note that most construction firms are organized as pass-through entities, such as S corporations and partnerships that are taxed at personal rather than corporate tax rates. While the Senate proposal has wisely increased the pass-through deduction from 17.4 percent to 23 percent, the fact that the cut is temporary is concerning. We also remain disappointed that infrastructure was largely overlooked in the tax reform process. This is a missed opportunity."
