On Wednesday, August 6, 46 Senators wrote to Senate Finance Committee Chairman Ron Wyden and Ranking Member Orrin Hatch to express concern about the proposal contained in the Cost Recovery and Accounting Discussion Draft released late last year by former Chairman Max Baucus that would require many businesses to use the accrual method of accounting.
The Farmers for Tax Fairness Coalition (FTF) played a critical role in developing and collecting signatures for the letter. FTF supporters will notice that the language of the letter is somewhat different than past letters we’ve worked on. In this case, FTF made the strategic decision to work with other industries impacted by the proposed shift to accrual—including lawyers, accountants, dentists, investment advisors, architects, and others. As a result, the letter references the detrimental impacts on many industries; not just on farming and ranching businesses.
The Cash Accounting Working Group, as our multi-industry alliance has become known, has proven to be a great asset for the Farmers for Tax Fairness Coalition. The broader group allows us to secure the support of Senators and Members of Congress who primarily represent urban areas or have very little stake in the agriculture industry.
Next Up: Farmers for Tax Fairness and the Cash Accounting Working Group are preparing for another letter, this time to Leadership in the House of Representatives. Stay tuned come early September!