Washington Focus

Coalition: Contact Congress Now about Ad Tax Deductibility

Oct. 10, 2017 – Many in the medical marketing industry have already reached out to their members of Congress to express their support for the full and immediate deductibility of all marketing costs, but those who have not need to do so right away, according to Coalition for Healthcare Communication Executive Director John Kamp, who explained that “the pressure on Congressional leadership to find ways to pay for other tax cuts is immense.”

According to the Congressional Budget Office, reducing the deductibility of marketing costs would raise $169 Billion over 10 years. “This would also mean that the cost of advertising to clients would be approximately 14 percent greater during the first three years after enactment,” he noted. “Members of Congress need to know that the proposals would dampen business and lead to a loss of jobs in your community.”

A recent memo from The Advertising Coalition stated that although the deductibility of advertising costs is not considered one of the five or six “big levers” that are critical to upcoming tax deals, it is “potentially mid-sized,” which means that industry needs to continue advocacy efforts “strongly and immediately,” because the next few weeks “will be crucial to legislative tax reform efforts.”

The CHC held a member call late last month to address this important issue and provide tools for taking action. Kamp remarked that “members of Congress and their staff tell us that your emails and calls are reaching the right people on Capitol Hill, so keep up the good work.” However, “for those of you who have not yet contacted your member of Congress, please get in touch with me for model messages and contact information for your Senators and Representatives,” Kamp said. He can be reached at jkamp@cohealthcom.org.