Complete Story
09/19/2024
ASAE Joins Chamber Letter Urging Pro-growth Tax Policy
The expiration of TCJA tax cuts could threaten nonprofits in 2025
Last week, the American Society of Association Executives (ASAE) joined the U.S. Chamber of Commerce and more than 500 other associations and chambers in calling on the next Congress and administration to maintain a pro-growth tax code that supports a robust economy.
Why it matters: With sweeping tax breaks established in the 2017 Tax Cuts and Jobs Act (TCJA) set to expire in 2025, major tax changes are undoubtedly on Congress’s agenda next year. The chamber’s sign-on letter is part of a proactive effort to educate lawmakers about the tax policies needed for businesses, associations and other job creators to thrive.
“Pro-growth tax policy doesn’t just grow the overall U.S. economy; it raises wages for American workers and improves standards of living,” said Neil Bradley, the U.S. Chamber of Commerce's executive vice president and chief policy officer. "Maintaining and improving pro-growth tax policy ensures that the U.S. remains globally competitive, retaining and attracting businesses, jobs, investment and innovation here at home."
Congressional leaders on both sides of the aisle have called for next year’s tax package to be fully funded at a cost of $3-4 trillion.
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ASAE is sounding the alarm that the tax-exempt sector could be targeted by lawmakers to help offset the cost of tax legislation. OSAP is paying close attention to this issue, and it informed members of these possible threats on August 16, 2024.
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Some legislators and policy think tanks have called for taxing all tax-exempt organizations across the board, applying the 21 percent corporate tax rate to all non-donation net revenue.
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Membership dues, sponsorships, investment income and educational program revenue are only a few examples of what is potentially at risk.
Last month, the ASAE board of directors approved a strategic investment to allow ASAE to take the lead in advocating for associations as Congress shapes a tax reform package next year. To stay informed on this issue, join ASAE’s tax reform email list.
This article was provided to OSAP by ASAE's Power of Associations and Inroads.
