Pressroom

New Legislation Eliminates Onerous S Corp. Tax Hike on Small Businesses and Architectural Firms

Contact: John Schneidawind
202-626-7457
johnschneidawind@aia.org

For immediate release:
Washington, D.C. – September 17, 2010 – The American Institute of Architects (AIA) today issued the following statement in support of Senator Baucus’ introduction Thursday of a revised tax extenders bill.

“This tax extenders legislation is a vastly improved bill,” said AIA President George H. Miller, FAIA. “This bill has tax incentives for green homes, extends the “Build America Bonds” program created by stimulus legislation and contains many other attributes that will help the design and construction industry in this recessionary economy.”

“At the same time, the new extenders bill eliminates an onerous payroll tax hike on many small businesses and architectural firms who file their taxes under the S. Corp. provisions of the tax code,” Miller said. “Since many of our members are firms with three or fewer employees, this could have forced many architects to lay off staff or stop hiring new staff to pay the new tax.”

“The AIA supports efforts to collect taxes from individuals who form as S corporations to avoid paying payroll taxes,” Miller said, “without entrapping legitimate S corporations who follow the letter and spirit of the law.”

About The American Institute of Architects
For over 150 years, members of the American Institute of Architects have worked with each other and their communities to create more valuable, healthy, secure, and sustainable buildings and cityscapes.  By using sustainable design practices, materials, and techniques, AIA architects are uniquely poised to provide the leadership and guidance needed to provide solutions to address climate change.  AIA architects walk the walk on sustainable design. Visit www.aia.org