Setting The Record Straight: Replacing Full Interest Deductibility With Immediate Expensing Is Not Pro-Growth

By | 2017-10-25T16:01:06+00:00 October 25th, 2017|Blog, Issue Briefs, News|

Proposals to limit the business interest deduction as part of tax reform are based on a number of misconceptions. Unfortunately, a recent report by the Heritage Foundation perpetuates two of these: the notion that full interest deductibility can be replaced by full and immediate expensing, and the myth that the current tax treatment of interest

BUILD Coalition Highlights Importance Of Interest Deductibility For Pro-Growth Tax Reform In Senate Finance Letter

By | 2017-09-27T16:48:28+00:00 September 19th, 2017|Blog, News|

WASHINGTON (September 19, 2017) – Today, the BUILD Coalition submitted a letter to the Senate Finance Committee outlining the need to maintain full interest deductibility for all American businesses. The submission highlights how businesses of all sizes and across all sectors rely on the ability to deduct interest expense to access capital that is critical for

Replacing ID With 100 Percent Expensing Is Bad Long-Term Economic Policy

By | 2017-08-08T17:04:38+00:00 August 8th, 2017|Blog, Writing|

The tax reform that Congress passes now will affect our economy for decades to come. The last time Congress passed tax reform was 36 years ago – more than a generation. So, lawmakers need to look beyond the next political cycle and seriously consider the long-term implications of the tax reform proposals they're evaluating. Unfortunately,

EY Study Shows Harmful Effects Of Limiting Interest Deductibility

By | 2017-08-02T17:22:47+00:00 August 2nd, 2017|Blog|

As lawmakers look for ways to finance a lower corporate tax rate, some are considering capping the deductibility of interest for businesses. This would be a mistake. Interest deductibility (ID) has been a staple of the modern U.S. tax code since its inception more than 100 years ago. Businesses large and small borrow to help

BUILD Coalition Emphasizes Need To Preserve Full Interest Deductibility In Letter To Senate Finance Committee

By | 2017-07-10T20:40:45+00:00 July 6th, 2017|Blog, News|

WASHINGTON (July 6, 2017) – Today, the BUILD Coalition submitted a letter to the Senate Finance Committee outlining the need to preserve full interest deductibility for American businesses. The submission highlights how businesses of all sizes and across all sectors rely on the ability to deduct interest expense to access capital that is critical for growth and job

Funding The U.S. Infrastructure Overhaul: Interest Deductibility’s Key But Oft-Overlooked Role

By | 2017-06-30T13:47:42+00:00 June 22nd, 2017|Blog, Issue Briefs|

In 1956, the interstate highway bill, one of the largest public works projects in American history was signed into law. At the time, the system carried roughly 65 million cars and trucks. Today, that number has more than quadrupled to over 260 million. The increase in traffic borne by our national highway system is just

Interest Deductibility By Sector

By | 2017-06-16T22:47:24+00:00 June 15th, 2017|Blog, Infographic|

Interest deductibility plays an important role across many sectors. For example, manufacturing uses interest deductibility to open a new plant, fill a large order, or purchase new plants and equipment. The healthcare industry uses interest deductibility to fund innovation and develop new, life-saving technologies. Even four out of five small businesses use debt financing and interest

As The Focus Returns To Infrastructure This Week, It’s Worth Revisiting Interest Deductibility’s Role In Spurring Investment

By | 2017-06-30T13:48:33+00:00 June 7th, 2017|Blog, Issue Briefs|

This week, President Trump is engaging with executives, mayors, and community leaders to discuss America’s much-needed investment in roads, railways, waterways, and other major infrastructure projects. With over $4.6 trillion needed by 2022 just to get our infrastructure to a “B Grade,” President Trump’s proposed $1 trillion plan is an important first step. As we

Policy Thinkers Cannot Ignore The Practical Implications Of Tax Reform Proposals For Businesses

By | 2017-09-05T18:49:33+00:00 May 10th, 2017|Blog, Issue Briefs|

The following is an open letter by the BUILD Coalition on behalf of its members: The BUILD Coalition stands for Businesses United for Interest and Loan Deductibility. Our members represent industries throughout the economy, including agriculture, manufacturing, retail, and telecommunications. The coalition is committed to pro-growth tax reform. As we know from our experiences on

To Secure America’s Economic Future, Lawmakers Must Recognize The Importance Of Interest Deductibility

By | 2017-09-05T18:49:50+00:00 May 1st, 2017|Blog, Issue Briefs|

As House Ways and Means Committee Republicans enter the second day of their two-day retreat to discuss how to align their tax plan with the White House’s principles, they must remember the role interest deductibility (ID) plays in facilitating business growth. The stated goal of the tax reform effort is to foster stronger business investment

To Have Tax Reform And Infrastructure Spending Together, Interest Deductibility Must Be Maintained.

By | 2017-09-05T18:50:22+00:00 March 29th, 2017|Blog, Issue Briefs|

With the Affordable Care Act repeal and replace effort tabled for now, the White House and Congress say they are shifting focus to their next big project: tax reform. However, according to an Axios article this week, this might not be all they are considering. Rumor has it that plans for a massive infrastructure spending

Moody’s Research Underscores Negative Impact Of Eliminating Interest Deductibility

By | 2017-03-22T17:17:10+00:00 March 22nd, 2017|Blog, Issue Briefs, News|

Last week, Moody’s Investors Service published a new report, “Debt And Taxes: Credit Implications Of New Tax Reform Proposals,” showing how the House GOP Blueprint’s proposal to eliminate interest deductibility would lead to an increase in cash taxes for most business. The loss of interest deductibility would be particularly punitive for speculative-grade rated companies, even

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