The Senate voted over the weekend to pass its version of tax reform, and industry organizations have been quick to voice their support for the move, urging the House and Senate to come together on a final bill.
Greg Ferrara, SVP of government relations and public affairs at the National Grocers Association (NGA), released this statement:
“NGA applauds this important step toward once-in-a-generation tax reform that will help businesses grow and create jobs. Supermarkets are a high tax industry with the majority of independent grocers operating on just one to two percent net profit margins, meaning any reduction in the effective tax rate will significantly help these entrepreneurs hire additional staff, expand offerings, and upgrade their stores.
“We also commend Senators Johnson (R-Wis.) and Daines (R-Mont.) for their steadfast efforts to provide additional tax relief for pass-through businesses. By raising the deduction for pass-through business income, the Senate helped create a more level playing field for all grocers. House and Senate conferees must preserve these reforms so that Main Street supermarkets can benefit from tax reform. NGA urges Congress to send a final bill to the President’s desk as soon as possible so independent grocers can continue to invest in their companies, employees, and communities.”
On behalf of the Food Marketing Institute’s (FMI) 1,000 member companies, FMI Chief Public Policy Officer Jennifer Hatcher offered the following statement:
“FMI is very pleased with the additional improvements in the Senate Tax Cuts and Jobs Act. A fairer, simpler tax code not only benefits grocers and their employees, but also their customers, and we are excited with the progress that has been made. Raising the pass-through deduction to 23 percent and providing for a $10,000 deduction for property taxes—along with the new corporate rate of 20 percent and doubling the standard deduction—will help our member companies and our customers. FMI will continue to work with House and Senate leadership to make sure the legislation that crosses the finish line offers real relief to jumpstart economic growth.”
The Grocery Manufacturers Association (GMA), also voiced its support through a statement from Pamela G. Bailey, president and CEO:
“Last night’s Senate vote is a critical breakthrough towards final approval of a tax reform bill that will help American manufacturers stay competitive and fuel the purchasing power of our nation’s consumers. The food, beverage, and consumer products industry has long supported common-sense tax reform to help level the playing field for American manufacturers and workers. We now urge the Senate and House leaders to quickly reconcile any differences between the Senate and House bills, so the first major tax overhaul in 30 years can be passed and signed into law. Tax reform will benefit consumers, workers and manufacturers.”