Right now, 100% of businesses’ advertising expenses are fully deductible – just like the cost of rent and computers. Changing this amounts to a tax on your marketing budget.
Some legislators believe they can raise revenue by taxing advertising to fund other government programs and special interests by changing the tax code.
The Federal Ad Tax is a Bad Tax
When it comes to revenue, the U.S. Congress is always searching for “greener” pastures. In this case, lawmakers have their sights set on your advertising tax deduction.
Advertising is as essential to business as computers and office space, all of which are 100% tax deductible. Congress wants to cut the amount of advertising a business can claim which would have serious implications.
A Big Bite Out of Your Bottom Line
First, a change to the advertising deduction would make every advertisement you purchase more expensive.
But when ads aren’t deductible, business owners may cut back on them. Advertising is necessary to build a brand and reach new customers. Without it, growth stalls and revenues drop.
Altogether, it spells bad news for business.
This is Basically a Tax on Your Ad Budget
Sign up today to help get rid of the ad tax before it does some real damage.
Write Your Members of Congress
Ask your elected officials in Congress to support small businesses and oppose the Ad Tax.
Our supporting organizations represent thousands of small- and medium-sized businesses across the country. They stand with the BAAd Tax Coalition and believe that changes to advertising deductibility would hurt their members, local communities and the American economy. See a selection of the organizations that stand with the BAAd Tax Coalition.