Manufacturers Remain Opposed to Reconciliation Bill

On Aug. 7, U.S. Senate Democrats voted 51-50 to pass a $740 billion reconciliation package that includes a 15% corporate minimum tax on businesses, as well as government price controls for prescription drugs. Ohio’s federal delegation is split along party lines in its support for the legislation.

According to reports, the bill is expected to pass the House before heading to President Biden’s desk for his signature. (See this summary by OMA Connections Partner Plante Moran.)

Despite last-minute changes that preserve manufacturers’ ability to utilize accelerated depreciation — which has been in the federal tax code in some form since at least 1958 — the National Association of Manufacturers and the OMA remain opposed to the reconciliation bill.

NAM President and CEO Jay Timmons says the new taxes will “deliver a blow to our industry’s ability to raise wages, hire workers, and invest in our communities,” while also “threatening future innovation and cures.” 8/8/2022