Wednesday, June 7, 2023

Schuylkill County Business Owners Join Representative Dan Meuser in Washington DC for Subcommittee Hearing

On Tuesday, Schuylkill County business owners joined Rep. Dan Meuser in Washington DC.

Chairman of the Small Business Subcommittee on Economic Growth, Tax, and Capital Access, Congressman Dan Meuser (PA-09), hosted a hearing titled “American Ingenuity: Promoting Innovation Through the Tax Code.”

Throughout the hearing, Members of the Committee and witnesses examined tax policies that help businesses thrive. Particularly of interest were the R&D Tax Credit and Bonus Depreciation.

Witnesses included Julie Masser Ballay, Vice President and Chief Financial Officer, Sterman Masser Inc., and Bill Wydra, President, Ashland Technologies – both from Schuylkill County.

Rep. Meuser said, “At a time when U.S. adversaries are investing more and more in innovation, Congress must reflect on the impact that removing incentives to innovation will have on our nation’s job creators. The repeal of the R&D Tax Credit and the sunsetting of bonus depreciation, coupled together, will have grave consequences on American entrepreneurs. Congress must fight to protect these vital provisions. We cannot continue to cede our competitive advantage and risk falling behind dangerous adversaries on the world stage. I thank our witnesses and business leaders from Schuylkill County for attending today’s hearing and sharing their stories with the Committee.”

Wydra said, “I thank each and every one of you for further advancing my belief in the American way. The fact that we’re all sitting here having this particular subject discussed is very important to us and again restores for me that you care. A lot of times you’re on the front lines and you think you’re fighting a battle all by yourself, but meetings like this and the fact that you’re taking the time to organize this and want to hear from us, and genuinely want to hear from us, that goes a long way in helping us want to grow this company and grow this country even further.”

Wydra continued, “The proposed tax changes scheduled to go into effect regarding bonus depreciation and research and development tax credits will add one more significant mark for the negative column as we weigh these decisions and would most likely put a stop to these for several years or potentially permanently. Cash flow is always tight for most small businesses and this is particularly true of manufacturers who are much more capital intensive. These tax code changes put an increased burden on already limited cash flow in form of increased estimated quarterly and annual tax payments. This will limit our ability to support debt coverage for new building expansion and equipment investments and reduce available cash for hiring and further talent development programs.”

Masser Ballay said, “Small and family-owned businesses are the backbone of the American economy. In order to remain competitive, particularly in the agricultural sector, we need to be able to keep up with the speed of innovation of larger corporations. Taking advantage of bonus depreciation, and using that to reinvest in our business, assists us in accomplishing this so that we can continue to provide a good work environment for our employees and put food on the tables of families in America.”