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A study released last week by former Joint Committee on Taxation economists shows the importance of preserving pro-growth tax policies for manufacturers. Championed by the CRANE Coalition, which NMMA is a founding member of, the study highlights the importance of preserving existing cost recovery schedules, commonly known as accelerated depreciation, as a means to keep the cost of capital low. The study hopes to counter some policymakers who have proposed to eliminate cost recovery savings as part of any tax reforms. 

For many NMMA members, such an elimination would increase capital costs by 11 percent, a significant added cost that would impact future investments, equipment upgrades, job creation and economic growth. Through working with the CRANE Coalition, NMMA has called on Congress to avoid making any changes to accelerated depreciation, and instead reform the tax code in a way that promotes economic growth and job creation.

For a copy of the study, or to learn more about this issue, please contact Michael Lewan at [email protected].