Tax Reform Update

Feb 23

Written By Admin

As the Trump Administration works to implement its policy agenda, tax reform remains a leading priority. The President is expected to release an outline for tax reform in the near future, and many in Washington are closely watching to see if the Administration and Congress will reach consensus on the broad contours of a tax reform plan. A fundamental challenge to emerge in recent weeks is that a key funding mechanism in the House tax reform blueprint that would tax imports and exempt exports from taxation, referred to as a border adjustment tax, was met with resistance in the Senate and apparent skepticism by the President. This obstacle has sent House tax writers back to the drafting table to identify new ways to fill the $1 trillion shortfall without increasing the national debt.As a result, the legislative process to develop tax reform legislation has slowed considerably from the Administration’s ambitious 100 day agenda. Despite this setback, the House Ways and Means Committee is working to release a tax reform bill after the April budget process with a possible markup occurring as soon as May or June. House leadership and Chairman Brady are still aiming to pass the chamber’s tax reform bill before the August recess. If legislative solutions do not manifest soon, however, this time-frame could slip into the fall time-frame.The Senate Finance Committee has not spent significant time developing its own tax reform bill as a result of its role confirming Cabinet nominees, advancing the Supreme Court nominee, and detangling the tax consequences of repealing the Affordable Care Act. Nonetheless, in early February, Chairman Orrin Hatch (R-UT) made it known he intends to develop his own tax reform bill instead of reacting to or amending a House bill. Senate Republican Leadership, however, appears to have adopted a wait and see attitude about whether to develop a Senate tax reform bill or take up a House version of the bill. For these reasons, it is anticipated the Senate will follow the House in developing its approach to tax reform with legislative action not likely to occur until after the August recess. Take ActionThe HTCIA provides Members of Congress with a way to indicate their support for the credit and offers several reform ideas that could be incorporated into a larger tax reform bill. Adding cosponsors to the legislation is a critical step to protecting the historic tax credit during the tax reform process. 1. Urge Members of Congress to co-sponsor the Historic Tax Credit Improvement Act H.R. 1158 / S.425:Send your delegation an email encouraging co-sponsorship of the HTCIA; if you are an organization, request that your members reach out to your state’s Congressional delegation to urge co-sponsorship. 2. Ask Senate and House Members to Meet “In-district” During the Congressional Recess April 10^th-21^st:Contact district offices of both House and Senate Members and ask to schedule a meeting:- To locate the name and phone number of your House Representative go to: http://www.house.gov/representatives/find/- To locate the names and phone number of your Senators go to: http://www.senate.gov/general/contact_information/senators_cfm.cfm?OrderBy=state&Sort=ASC Helpful Tips:

Combine your meeting with a tour of a completed or potential HTC project;

If a meeting with the Member is not possible, request a meeting with staff;

Coordinate meetings with local preservationists, developers, architects, mayors, Main Street organizations and others in order to convey the broad impact of the Historic Tax Credit program.

Please share the outcomes of your advocacy with HTC Campaign Staff Members (see below).

3. Join the Federal Policy Webinar on March 9 at 2:00 p.m. ETPolicy Webinar: Bills Introduced & Getting Media for Historic Tax Credits -Learn which Members of Congress have already co-sponsored the Historic Tax Credit Improvement Act and hear what you can do to get more sponsors.Outreach via traditional and social media is an excellent way to urge Members to support the Historic Tax Credit. Learn tactics for extending the reach of your organization from Andy Grabel, Associate Director of Public Affairs, and Sarah Heffern, Director of Social Media, at the National Trust for Historic Preservation.Also learn from your peers about the amazing advocacy work they are undertaking to get Members to support the Historic Tax Credit.To register, visit: https://attendee.gotowebinar.com/register/7377919116320287489 4. Join Advocates in Washington, DC for Preservation Advocacy WeekVisit Washington, DC and advocate in support of the HTC during Preservation Advocacy Week, March 14^th-16^thIf you plan to visit Washington at some other time, e-mail Mike Phillips (mphillips@ntcic.com) or Shaw Sprague (ssprague@savingplaces.org) for help scheduling Congressional visits. Resources: