The Independent Community Bankers of America (ICBA) has released a report outlining the group’s principles and recommendations for reforming the nation’s tax code.
Officials said the white paper details the association’s position in urging Congress to modernize and simplify the tax system while encouraging lawmakers to enact tax reform measures that would strengthen communities, promote local economic growth and spur job creation nationwide.
“Our nation’s tax code impacts the strength of our economy and tax reform will require important and fundamental choices about our economic future,” ICBA President and CEO Camden R. Fine said. “The goal of ICBA’s tax reform white paper is to help clarify the choices that lie ahead. The views and recommendations set forth in the paper were developed with input from community bankers nationwide. Their unique perspective on tax reform in this debate is centered on strengthening the community bank-small business partnership, which is the foundation of local economic growth and prosperity.”
The ICBA is proposing legislators allow businesses to continue to fully deduct interest expense as an ordinary and necessary cost of doing business; provide parity in the taxation of financial services providers; modernize Subchapter S of the tax code to better allow community banks to raise capital; and lower the marginal tax rates on individuals along with C-corporation and S-corporation businesses.