Join ARSA Ask ARSA Pay ARSA

Contractor Withholding Tax Repeal Sails Through House

In a rare moment of bipartisan unity, the House approved, 405-16, legislation (H.R. 674) to repeal the three percent government contractor withholding tax scheduled to take effect in 2013.

While bipartisan support has long existed for abolishing the burdensome requirement, the challenge was finding a way to offset the tax’s $11 billion in projected revenues. H.R. 674 is paid for by adjusting the income qualifications for determining eligibility for certain healthcare-related programs, such as Medicaid. The Obama administration supported both repeal of the three percent government contractor withholding tax and the offset.

Now that the repeal has cleared the House, it is critical that the Senate follow the House’s lead and eliminate this unnecessary tax. To encourage your senators to pass the measure please visit www.ARSAaction.org.

~~~ posted 10/27/11 ~~~



More from ARSA

Review FAA’s Methods, Techniques, and Practices

The FAA has engaged industry to help review AC 43.13-1B Acceptable Methods, Techniques, and Practices—Aircraft Inspection and Repair that is applicable to aircraft inspection and repair. The AC primarily supports…Read More

FAA/EASA MAG Change 10 Released

On June 20, ARSA learned of the publication of change 10 to the Maintenance Annex Guidance between the FAA and EASA, which is issued under bilateral agreement between the United…Read More

Drafting Regulatory Purpose into Order 8130.21

On June 17, ARSA and the Aircraft Electronics Association (AEA) jointly submitted a rewrite of the FAA’s Draft Order 8130.21J, “Completion of FAA Form 8130-3 under 14 CFR part 21.”…Read More

ARSA Leads D&A Action at EASA-FAA Conference

ARSA Executive Vice President Christian Klein joined global aviation regulators and industry leaders in Cologne the week of June 9 for the annual EASA-FAA Safety Conference. Klein attended to present…Read More

Correct STC Oversight Problems

STC holders should take advantage of summertime opportunities to highlight FAA oversight issues to government auditors. Congress’ May 2024 reauthorization of the FAA, required the Department of Transportation’s Office of Inspector…Read More
ARSA