The House of Representatives passes legislation that would pair an increase in the nation’s debt ceiling with a combination of spending cuts, caps on future spending growth, and construction-significant reforms to the permitting process. 

Senator John Thune (R-S.D.) introduced the AGC-supported Death Tax Repeal Act of 2023, which would permanently repeal the federal estate tax.

The IRS proposed rule clarifies what kinds of investment—including construction—qualify for the significant tax credit, among other things.

President Biden’s budget proposes a number of new tax increases that would impact construction firms, including raising the corporate tax rate to 28%, increasing the 3.8% net investment income tax to 5% for income over $400,000, and taxing capital gains at the ordinary income rates for incomes above $1 million (for a top capital gains rate of 44.6%), among other things.

The AGC-backed legislation would help reduce the threat to construction firms of time consuming and expensive random or full field audits, regardless of whether the IRS determines any additional taxes are owed.

As Congress convenes in December for the post-election “lame duck” session, Republicans and Democrats face a number of year-end deadlines to find agreement on tax and spending legislation that could impact the construction industry.

Why the so-called Inflation Reduction Act that Sens. Joe Manchin and Chuck Schumer negotiated is still a bad deal for the construction industry. 

AGC helped bring together nearly 200 organizations to oppose efforts to increase taxes on small, individually, and family-owned construction businesses amid record-setting levels of inflation.

Learn about the latest financial-related issues in the construction industry.

AGC weighs in on SEC proposal to require privately held construction contractors to track and report emissions on construction projects for public companies.