Tell Congress to Pass New Tax Legislation Benefiting Hospitality Businesses
New legislation would restore expired tax deductions for many operators who are investing in their businesses. This legislation would extend 100% bonus depreciation for qualifying property, increase the maximum depreciation expense amount, and extend the inclusion of depreciation and amortization in business interest expense calculations. By restoring business interest expensing, this bill would help many restaurant and lodging operators lower their tax burden when investing in building upgrades, remodels, expansions, and refurbishments.
Members of Congress need to hear directly from operators like you, so please take two minutes to add your voice. Take action today to ensure Congress acts quickly to pass this bill:
Hotels Will Pay Historic Wages, Generate Record Level of Tax Revenue in 2024
Despite labor shortages and persistent inflation, hotels are projected to pay a record amount of wages and generate a record level of tax revenue in 2024, according to the American Hotel & Lodging Association’s 2024 State of the Hotel Industry report.
Top findings include:
Questions? Contact Pete Kasperowicz, American Hotel & Lodging Association, with any questions at (202) 289-3155.
OHA Buried Report Citing Taxes Don't Curb Excessive Alcohol Use
The Oregon Health Authority (OHA) commissioned EcoNorthwest to produce a report on the cause and effect of increasing alcohol taxes in an attempt to curb heavy drinking amongst the Oregon populous. The study, which should have been published in 2021, concluded alcohol taxes do not change consumer habits or significantly reduce abuse.
The Oregon Beverage Alliance is voicing their concern and that this publicly funded report was intentionally withheld by the Oregon Health Authority, as uncovered by the Oregonian. While Oregon’s breweries, wineries and cideries continue to face major challenges with record closures rates and reduced volume sales, the Oregon Beverage Alliance says "the last thing any local business needs are tax increases.”
Introducing Tip Tax Credit by ORLA Hospitality Partner, Adesso
Did you know your employees’ tips can get you money back from the IRS? With Tip Tax Credit by Adesso, employers can get tax credits for tips your employees earn. The FICA Tip Credit is a federal tax credit available to employers who have employees who receive tips as a significant part of their income. FICA stands for the Federal Insurance Contributions Act, which includes Social Security and Medicare taxes. The credit allows employers to claim a portion of the FICA taxes paid on employees' tips as a credit against their own tax liability.
If your business is tip-driven, tips are reported by your employees, and FICA taxes have been paid on those reported tips, your business may qualify.
To learn more, visit our Adesso partner page to get started with Tip Tax Credit.
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