National COVID-19 Information: PIANET.COM

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PIA Statement on Tax Reform Bill

WASHINGTON — As Congress heads to a conference committee to work out the differences between the House and Senate tax reform bills, PIA encourages Congress to ensure the final bill helps small business owners like PIA members, who own independent insurance agencies. Because most small businesses are organized as sole proprietorships, partnerships, or Subchapter S corporations, their owners do not pay corporate income tax. Instead, their income “passes through” the firm and appears directly on their owners’ individual tax returns, where it is taxed as normal income. House and Senate versions of the legislation differ on the treatment of these so-called pass-throughs.

“PIA is pleased that the Senate legislation that passed over the weekend provides greater tax relief to small business owners who file as pass-throughs than they are afforded under current law. However, with the specifics still being worked out, we continue to be concerned that the bill may shut out many small business owners, such as independent insurance agency owners, from benefitting from the lower tax rate for pass-throughs. As the House and Senate prepare to work through their differences in a conference committee, PIA looks forward to working with both houses of Congress to address our ongoing concerns,” said PIA National vice president of government relations Jon Gentile.

Founded in 1931, PIA is a national trade association that represents member insurance agents and their employees who sell and service all kinds of insurance, but specialize in coverage of automobiles, homes and businesses. PIA members are Local Agents Serving Main Street America SM. PIA’s web address is www.pianet.com.

This statement is online at: https://www.pianet.com/news/press-releases/2017/statementbypiaontaxreform120417

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