To the Members of the United States Congress:
The undersigned organizations support extending the pro-growth tax policies that have raised worker’s wages, led to more well-paying jobs, and supported stronger economic growth. The individual, business, and estate tax provisions of the 2017 Tax Cuts and Jobs Act (“TCJA”) have proven instrumental in achieving those goals and we appreciate the early steps Congress has taken to make them permanent.
We are concerned that some are now suggesting a policy that would weaken these pro-growth reforms by capping or otherwise limiting the deduction for state and local business taxes (“B-SALT deduction”). Doing so would be a mistake. State and local business taxes are not optional; they are ordinary and necessary expenses incurred in carrying on a trade or business. As such, limiting the B-SALT deduction would lead to a massive tax increase on businesses of all sizes. And because all states levy business taxes, employers in every state would be negatively impacted. According to the Tax Foundation:
- eliminating the deduction for state and local business taxes imposed on pass-through entities, like partnerships and S corporations, would burden them with more than $226 billion in higher taxes over 10 years;
- disallowing the deduction for state and local corporate income taxes would increase corporate taxes by $223 billion over 10 years; and
- applying this limit to corporations’ state and local property taxes would increase their taxes by an additional $209 billion over the same period.
All told, limiting the B-SALT deduction would raise taxes on American businesses of all sizes by more than $600 billion, significantly undermining the pro-growth elements of the TCJA that Congress otherwise seeks to preserve. This would cause lasting harm to the U.S. economy by depriving American businesses of the resources they need to invest, hire, and grow.
We urge Congress to prevent a backdoor tax increase on American businesses by preserving the B-SALT deduction as an essential feature of the federal tax system.
Sincerely,
National
Alliance for Chemical Distribution
American Chemistry Council
American Council of Engineering Companies
American Foundry Society
American Hotel and Lodging Association
American Land Title Association
Associated Builders and Contractors
Associated Equipment Distributors
Association of American Railroads
Association of Equipment Manufacturers
CTIA – The Wireless Association
Decorative Hardwoods Association
Edison Electric Institute
Finseca
FMI – The Food Industry Association
Forest Resources Association
Global Business Alliance
Institute of Makers of Explosives
International Franchise Association
International Fresh Produce Association
Metals Service Center Institute
Mortgage Bankers Association
North American Association of Food Equipment Manufacturers
National Association of Insurance and Financial Advisors
National Association of Wholesaler-Distributors
National Electrical Manufacturers Association
National Restaurant Association
National Wooden Pallet & Container Association
Portland Cement Association
S Corporation Association
U.S. Chamber of Commerce
USTelecom – The Broadband Association
Worldwide ERC
Alabama
Dothan Area Chamber of Commerce
Enterprise Chamber of Commerce
Opelika Chamber of Commerce
Prattville Area Chamber of Commerce
Selma and Dallas County Chamber of Commerce and Tourism Information
Alaska
Alaska Chamber
Greater Fairbanks Chamber of Commerce
Arizona
Apache Junction Area Chamber of Commerce
Arizona Chamber of Commerce & Industry
Buckeye Valley Chamber of Commerce
Carefree Cave Creek Chamber of Commerce
Chandler Chamber of Commerce
Greater Flagstaff Chamber of Commerce
Greater Phoenix Chamber
Greater Sedona Chamber of Commerce
Green Valley Sahuarita Chamber of Commerce & Visitor Center
Kingman Area Chamber of Commerce
Lake Havasu Area Chamber of Commerce
Mesa Chamber of Commerce
Northwest Valley Chamber of Commerce
Prescott Valley Chamber of Commerce
Queen Creek Chamber of Commerce
Scottsdale Area Chamber of Commerce
Southern Arizona Hispanic Chamber of Commerce
California
Bay Area Council
Brea Chamber
Canoga Park Chamber-Commerce
Carlsbad Chamber of Commerce
Chatsworth/Porter Ranch Chamber of Commerce
Chino Valley Chamber of Commerce
Coalition of California Chambers Orange County
Costa Mesa Chamber of Commerce
Dana Point Chamber of Commerce
El Dorado County Chamber of Commerce
Gateway Chambers Alliance
Greater Bakersfield Chamber
Greater Coachella Valley Chamber of Commerce
Greater Conejo Valley Chamber of Commerce
Greater Grass Valley Chamber of Commerce
Greater High Desert Chamber of Commerce
Greater Irvine Chamber
Greater Riverside Chambers of Commerce
La Canada Flintridge Chamber of Commerce
Lake Elsinore Valley Chamber of Commerce
Lake Forest Chamber of Commerce
Lincoln Area Chamber of Commerce
Long Beach Area Chamber of Commerce
Menifee Valley Chamber of Commerce
Moorpark Chamber of Commerce
Murrieta/Wildomar Chamber of Commerce
Newport Beach Chamber of Commerce
North San Diego Business Chamber
Oceanside Chamber of Commerce
Orange County Business Council
Palm Desert Area Chamber of Commerce
Palos Verdes Peninsula Chamber of Commerce
Pasadena Chamber of Commerce
Pomona Chamber of Commerce
Porterville Chamber of Commerce
Rancho Cordova Area Chamber of Commerce
Rancho Mirage Chamber of Commerce
Roseville Area Chamber of Commerce
Sacramento Metropolitan Chamber of Commerce
San Diego Regional Chamber of Commerce
San Gabriel Valley Economic Partnership
San Jose Chamber of Commerce
San Juan Capistrano Chamber of Commerce
San Marcos Chamber of Commerce
Santa Barbara South Coast Chamber of Commerce
Santa Clarita Valley Chamber of Commerce
Santa Fe Springs Chamber of Commerce
Simi Valley Chamber of Commerce
South Bay Association of Chambers of Commerce
Southwest California Legislative Council
Temecula Valley Chamber of Commerce
Torrance Area Chamber of Commerce
Vista Chamber of Commerce
West Valley Warner Center Chamber of Commerce
West Ventura County Business Alliance
Western States Trucking Association
Yorba Linda Chamber of Commerce
Colorado
Alamosa County Chamber of Commerce
Colorado Springs Chamber & EDC
Greater Pueblo Chamber
Vail Valley Partnership
Connecticut
Connecticut Business & Industry Association
Florida
Associated Industries of Florida
Daytona Regional Chamber of Commerce
Florida Chamber of Commerce
Marco Island Chamber of Commerce
Georgia
Athens Area Chamber of Commerce
Cobb Chamber
Fayette County Chamber of Commerce
Greene County Chamber of Commerce
Gwinnett Chamber of Commerce
Habersham County Chamber of Commerce
Henry County Chamber of Commerce
Hawaii
Chamber of Commerce Hawaii
Kapolei Chamber of Commerce
Maui Chamber of Commerce
Idaho
Boise Metro Chamber
Greater Idaho Falls Chamber
Idaho Association of Commerce and Industry
Idaho Chamber Alliance
Jerome Chamber of Commerce
Meridian Chamber of Commerce
Moscow Chamber of Commerce
Pocatello-Chubbuck Chamber of Commerce
Post Falls Chamber of Commerce
Twin Falls Area Chamber of Commerce
Illinois
Chicagoland Chamber of Commerce
Elmhurst Chamber of Commerce and Industry
GLMV Chamber of Commerce
Greater Springfield Chamber of Commerce
Illinois Chamber of Commerce
Joliet Region Chamber of Commerce & Industry
McLean County Chamber of Commerce
Naperville Area Chamber of Commerce
Quad Cities Chamber of Commerce
Sandwich Area Chamber of Commerce
Western DuPage Chamber of Commerce
Winnetka-Northfield-Glencoe Chamber of Commerce
Indiana
Greater Lawrence Chamber of Commerce
Indiana Chamber of Commerce
La Porte Economic Advancement Partnership
South Bend Regional Chamber
Wayne County Area Chamber of Commerce
Iowa
Greater Burlington Partnership
Keokuk Chamber of Commerce
Quad Cities Chamber of Commerce
Kansas
Coffeyville Area Chamber of Commerce
Greater Topeka Partnership
KCK Chamber
Manhattan Area Chamber of Commerce
Kentucky
Commerce Lexington
Greater Louisville Inc.
Kentucky Chamber of Commerce
Northern Kentucky Chamber of Commerce
Paducah Area Chamber of Commerce
Union County Chamber of Commerce
Maine
Maine State Chamber of Commerce
Maryland
Maryland Chamber of Commerce
Salisbury Area Chamber of Commerce
Talbot County Chamber of Commerce
Massachusetts
Blackstone Valley Chamber of Commerce
Brewster Chamber of Commerce
Cape Cod Canal Region Chamber of Commerce
Eastham Chamber of Commerce
Greater Boston Chamber of Commerce
Greater Hyannis Chamber of Commerce
Harwich Chamber of Commerce
Mashpee Chamber of Commerce
Orleans Chamber of Commerce
Provincetown Chamber of Commerce
Michigan
Barry County Chamber and Economic Development Alliance
Lansing Regional Chamber of Commerce
Michigan Chamber of Commerce
Mt. Pleasant Area Chamber of Commerce
Otsego Plainwell Chamber of Commerce
Saginaw County Chamber of Commerce
Minnesota
Belle Plaine Chamber of Commerce
Brainerd Lakes Chamber of Commerce
Dakota County Regional Chamber of Commerce
Eden Prairie Chamber of Commerce
Hermantown Area Chamber of Commerce
Lake Crystal Area Chamber of Commerce
Minnesota Chamber of Commerce
Shakopee Area Chamber of Commerce
St. Paul Area Chamber
The Chamber Grand Forks / East Grand Forks
Willmar Lakes Area Chamber
Missouri
Branson/Lakes Area Chamber of Commerce & CVB
Greater Kansas City Chamber of Commerce
Missouri Chamber of Commerce and Industry
St. Charles Regional Chamber
Montana
Billings Chamber of Commerce
Kalispell Chamber of Commerce
Montana Chamber of Commerce
Nebraska
Cheyenne County Chamber of Commerce
Lincoln Chamber of Commerce
Nebraska Chamber of Commerce & Industry
Nevada
Boulder City Chamber of Commerce
Carson City Chamber of Commerce
Henderson Chamber of Commerce
Mesquite Chamber of Commerce
Reno + Sparks Chamber of Commerce
Vegas Chamber
New Hampshire
Greater Nashua Chamber of Commerce
New Jersey
Meadowlands Chamber
New Jersey State Chamber of Commerce
Newark Regional Business Partnership
New York
Buffalo Niagara Partnership
Capital Region Chamber
Greater Rochester Chamber of Commerce
North Country Chamber of Commerce
The Business Council of New York State, Inc.
North Carolina
Alamance Chamber
Cabarrus Regional Chamber of Commerce
Charlotte Regional Business Alliance
Greater Fayetteville Chamber
Greater Wilmington Chamber of Commerce
NC Chamber
Rowan County Chamber of Commerce
North Dakota
Greater North Dakota Chamber
The Chamber Grand Forks / East Grand Forks
Ohio
Archbold Area Chamber of Commerce
Chillicothe Ross Chamber of Commerce
Dayton Area Chamber of Commerce
Greater Springfield Partnership
Hilliard Area Chamber of Commerce
Huber Heights Chamber of Commerce
Licking County Chamber of Commerce
Marion Area Chamber of Commerce
New Albany Chamber of Commerce
Perry County Chamber of Commerce
Toledo Regional Chamber of Commerce
Trotwood Madison Chamber of Commerce
Troy Area Chamber of Commerce
Yellow Springs Chamber of Commerce
Zanesville-Muskingum Chamber of Commerce
Oklahoma
Claremore Area Chamber of Commerce
South Oklahoma City Chamber of Commerce
State Chamber of Oklahoma
Tulsa Regional Chamber
Oregon
Albany Area Chamber of Commerce
Aurora Airport Improvement Association
Beaverton Area Chamber of Commerce
Bend Chamber of Commerce
Canby Area Chamber of Commerce
Gresham Area Chamber of Commerce
Lake County Chamber of Commerce
Lincoln City Chamber of Commerce
North Clackamas County Chamber of Commerce
Oregon Business & Industry
Oregon State Chamber of Commerce
Portland Metro Chamber
Roseburg Area Chamber of Commerce
Salem Area Chamber of Commerce
Springfield Area Chamber of Commerce
Stayton Sublimity Chamber of Commerce
Washington County Chamber of Commerce
Pennsylvania
Butler County Chamber of Commerce
Cambria Regional Chamber
Carlisle Area Chamber of Commerce
Chester County Chamber of Business and Industry
Clarion Area Chamber of Business & Industry
Erie Regional Chamber & Growth Partnership
Greater Latrobe Laurel Valley Regional Chamber of Commerce
Greater Scranton Chamber of Commerce
Hanover Area Chamber of Commerce
Harrisburg Regional Chamber
Huntingdon County Chamber of Commerce
Juniata Valley Area Chamber of Commerce
Pennsylvania Chamber of Business and Industry
Perry County Chamber of Commerce
Schuylkill Chamber of Commerce
Somerset County PA Chamber
South West Regional Chamber of Commerce
Southern Chester County Chamber of Commerce
Westmoreland County Chamber of Commerce
Williamsport/Lycoming Chamber of Commerce
Wyoming County Chamber of Commerce
Rhode Island
Central Rhode Island Chamber of Commerce
South Carolina
Aiken Chamber of Commerce
Charleston Metro Chamber of Commerce
Fountain Inn Chamber
South Carolina Chamber of Commerce
South Dakota
South Dakota Chamber of Commerce and Industry
Tennessee
Bristol Chamber of Commerce
Tennessee Chamber of Commerce & Industry
White House Area Chamber of Commerce
Texas
Baytown Chamber of Commerce
Cedar Park Chamber of Commerce
Greater Port Arthur Chamber of Commerce
Greenville Chamber of Commerce
Lake Travis chamber of commerce
Longview Chamber of Commerce
Mansfield Area Chamber of Commerce
Metrocrest Chamber of Commerce
North Texas Commission
Plano Chamber of Commerce
Texas Association of Business
Utah
Cache Valley Chamber of Commerce
ChamberWest Chamber of Commerce
Davis Chamber of Commerce
Salt Lake Chamber
South Valley Chamber
St. George Area Chamber of Commerce
Utah Pacific Islander Chamber of Commerce
Utah Valley Chamber of Commerce
Virginia
Central Fairfax Chamber of Commerce
Culpeper County Chamber of Commerce
Fredericksburg Regional Chamber of Commerce
Loudoun County Chamber of Commerce
Lynchburg Regional Business Alliance
Virginia Chamber of Commerce
Washington
Burlington Chamber of Commerce
Economic Alliance Snohomish County
Greater Lake Stevens Chamber of Commerce
Greater Oak Harbor Chamber of Commerce
Greater Spokane Inc.
Greater Spokane Valley Chamber of Commerce
Puyallup Sumner Chamber of Commerce
Seattle Southside Chamber of Commerce
Sedro-Woolley Chamber of Commerce
Tri-City Regional Chamber of Commerce
Walla Walla Valley Chamber of Commerce
Washington Retail Association
Wisconsin
De Pere Area Chamber of Commerce
Metropolitan Milwaukee Association of Commerce
Mosinee Area Chamber of Commerce
Oshkosh Chamber of Commerce
Waukesha County Business Alliance
Wisconsin Manufacturers & Commerce
Wyoming
Campbell County Chamber of Commerce
Casper Area Chamber of Commerce
Cody Country Chamber of Commerce
Greater Cheyenne Chamber of Commerce
Jackson Hole Chamber of Commerce
Platte County Chamber of Commerce
Riverton Chamber and Visitors Center
Rock Springs Chamber of Commerce
Wyoming State Chamber of Commerce
