At the deadline for filing federal income taxes, Actors' Equity Association is calling on Congress to pass the bipartisan Performing Artist Tax Parity Act (PATPA), introduced by Rep. Judy Chu (D-CA) and Rep. Vern Buchanan (R-FL).
PATPA would correct an unintended consequence of the 2017 Tax Cut and Jobs Act which led to tax increases for many performing artists who could no longer deduct the cost of their ordinary and necessary unreimbursed business expenses. The House version (HR 4750) has nearly 70 cosponsors. The Senate version (S2872) introduced last year by Sen. Mark Warner (D-VA) and Bill Hagerty (R-TN) has 14 cosponsors.
Professional actors, stage managers and musicians, for example, typically spend 20 to 30 percent of their income on necessary expenses -- such as to pay for travel to auditions or a talent agent -- to stay in the business and to procure employment.