02.04.25

Industry Groups Ask for Tax Break for Independent Advisors

by: Glenn Koch

A coalition of broker-dealers and industry trade groups is asking lawmakers to extend an expiring tax break for owners and shareholders of pass-through businesses and to expand its scope to include independent financial advisors. Section 199A of the 2017 Tax Cuts and Jobs Act allows a deduction of as much as 20% of qualified business income for owners of some types of small businesses. Financial services firms that reach a certain income threshold are among the "specified service trades or businesses" for which the deduction is not available, but the Financial Services Coalition for 199A Fairness is seeking an exception for independent financial advisors.

Read the full article on Financial Advisor IQ