PIA Efforts to Reform Tax Code Bolstered by Joining Alliance
Press release from the issuing company
ALEXANDRIA, VIRGINIA (July 10, 2001) – Joining the Alliance for Small Business Investment in Technology (ASBIT) is the Printing Industries of America (PIA), Incorporated, which has long advocated reform to the U.S. tax code to allow graphic arts companies to depreciate their computer equipment over a shorter period of time.
The Alliance announced its launch June 28 at a press conference in the Canon House Office Building on Capitol Hill, where U.S. House of Representatives members Donald Manzullo (R-Illinois) and Nydia Velázquez (D-New York) joined them. Also scheduled, but unable to attend the press conference was Senator Christopher "Kit" Bond (R-Missouri), who provided a statement supporting ASBIT’s call to change tax laws so small businesses can invest in newer computers and software so they may remain competitive. Manzullo chairs the House Small Business Committee, of which Velázquez is a member. Bond chairs the Senate Small Business Committee.
"This computer depreciation is an enormously important issue for us and we are excited about the legislative process under way," Ben Cooper, PIA senior vice president, Government Affairs, told the press gathered at the conference. "While e-commerce and computer technology have dramatically changed the way businesses operate, the Internal Revenue Service [IRS] code has not changed. Congress hasn’t taken a serious look at computer technology."
Cooper noted the graphic arts industry is one of the nation’s top employers with more than one million employees, and is among the largest manufacturing sectors in the U.S.
Joining Cooper and the representatives at the press conference were Robert Hughes, president of the National Association for the Self-Employed (NASE), and Francis Collins, president of Advanced Digital Solutions, Incorporated, a computer company in Fairfax, Virginia.
"The reality is that the personal computer [PC] I paid $2,000 for two years ago is worth less than $300 today," Collins said. "Unfortunately, I am carrying approximately $1,200 on my books as the value of this asset. This money is being needlessly tied up on a useless, overvalued asset."
PIA has for more than five years campaigned the federal government to shorten the depreciation schedule for computers and their peripherals because rapid technological advancements to these products render them virtually obsolete before the full value of the purchases can be actualized. Also, PIA advocates changing the definitions for computer and peripheral equipment in the tax code to better reflect the software and components.
In addition to PIA and NASE, other Alliance members include the following organizations: American Electronics Association, American Dental Association, Business Software Alliance, Computing Technology Industry Association, Gateway, Intel, Information Technology Industry Council, National Small Business United, National Society of Accountants, National Tooling and Machining Association, National Association of Women Business Owners, Small Business Council of America, and the Small Business Survival Committee.
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