This week, two PIA policy priorities cleared major hurdles in the ongoing budget reconciliation process. Two House committees–Ways and Means and Agriculture–each passed their portions of the massive House reconciliation package along party lines. Both bills will now head to the Budget Committee in preparation for full House consideration.

Included in the House Ways & Means bill are provisions making permanent the qualified business income (QBI) passthrough tax deduction currently available to eligible S corporations thanks to the 2017 tax reform law. The bill also includes language increasing the maximum available deduction from 20 to 23%. Without Congressional action to extend it, the 20% passthrough tax deduction will expire at the end of 2025.

Since 2017, millions of small businesses, including countless PIA member agencies, have been strengthened by the additional liquidity created by the deduction. Without it, many Main Street businesses may struggle to retain employees and deliver high quality service to consumers.

Click here to urge lawmakers to support the House tax bill and make permanent the expanded passthrough tax deduction.

The bill passed by the House Agriculture Committee includes language that would finally reinstate an annual administrative and operating (A&O) inflation adjustment for crop insurance agents. For several years, the Risk Management Agency (RMA) would provide annual adjustments to crop insurance agent compensation to account for inflation. Then, in 2016, the RMA abruptly stopped providing the inflation adjustment to agents, functionally freezing their compensation in 2016 dollars indefinitely.

Take action here to urge your lawmakers to support the House Agriculture Committee reconciliation bill, which will provide much-needed financial relief to crop agents.

PIA appreciates the support of members of the House Ways & Means and Agriculture Committees on these key provisions, and we will continue to advocate for their passage in the full House and Senate.