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The North American Equipment Dealers Association (NAEDA) and its affiliated associations are committed to helping dealers succeed.
Natalie Higgins, EDA's VP of Government Relations organized a series of meetings on Capitol Hill last week to discuss the need for a multi-year extension of Section 179 and Bonus Depreciation. Natalie was joined on the trip by Nick Sinner of the Minnesota South Dakota Equipment Dealers Association and Will Rogers of the Iowa Nebraska Equipment Dealers Association. Together Natalie, Nick and Will took to the Hill for nearly twenty meetings with the members of the Senate Finance Committee as well as a several members of the House. For a full list of the team’s schedule, check out EDA’s Facebook page. A trip recap of their discussions can be read here.
$13 Billion. That is the amount the Federal government budgeted to collect in fines when the Affordable Care Act (ACA) was passed. If you offer your employees a health insurance plan, most employers have a false sense of security about compliance with the ACA. Unfortunately, simply offering a medical insurance plan now comes with a long list of new responsibilities and liabilities. The Department of Labor and the Internal Revenue Service know that 95% of employers offering insurance programs to employees are not providing the correct documentation to employees and the fines accumulate per day.
Your Equipment Dealers Association is doing everything it can to keep Section 179 and Bonus Depreciation on the minds of legislators. In addition to several in-person visits with Senators and Senate staffers, the Equipment Dealers Association is now asking its Members to personalize the attached letter and send it to their respective Senators. Senators do not receive “snail mail” in a timely fashion, thus the correspondence should be sent via electronic mail. You can contact your Senators’ office to obtain the proper email address. If you need any assistance in locating your Senator’s email address, contact Natalie Higgins at email@example.com.
The U.S. Department of Agriculture (USDA) has released a series of fact sheets illustrating how the newly reached Trans-Pacific Partnership (TPP) agreement can boost the U.S. agriculture industry, supporting more American jobs and driving the nation's rural economy. Created by the USDA's Foreign Agricultural Service (FAS), the fact sheets graphically depict how each state and individual commodities stand to benefit from increased agricultural trade with the 11 other TPP countries. More information can be read here.
The Equipment Dealers Association is again reminding its members to insure that they have appropriate credit card processing equipment. As of October 1, 2015, all businesses that accept in-person payments must be able to take cards embedded with chips, or risk being responsible for card fraud losses. Chip cards are more secure than magnetic stripe cards, which data thieves can easily skim for cardholder information. This is different from the way things are today, when the bank or association that provides the cards bears the responsibility for card present fraud losses. It will continue to be their responsibility after Oct. 1 if you have equipment that enables you to take chip cards. So as the year goes by, banks and card associations will send your customers new chip cards, and they will want to use them to take advantage of the security that chip cards offer. If you do not have the accepted processing equipment please contact your credit card processor. Elavon, NAEDA’s endorsed credit card processor has provided the following information for your reference.
The polling period for NAEDA’s first national election is over and we are extremely pleased with the level of participation. Thank you for taking the time to cast your vote as it is greatly appreciated! We are currently tabulating the results and anticipate announcing the winners by the end of the week. The voting process did present some challenges. Most importantly, it exposed a need to enhance our member database as we discovered incorrect contact names and/or email addresses. NAEDA staff worked directly with members and regional association executives to address each situation individually and as a result, every member who expressed an interest in voting should have been able to cast a vote. Regardless of the challenges encountered with this first effort, we remain confident in the results. We utilized every means possible to promote the election and each ballot was individually checked to confirm its validity. Every effort was taken to ensure the sanctity of this year’s election and each opportunity to improve the process for next year’s election will be implemented. Again, thank you for participating in NAEDA’s first national election and thank you for being a valued member of NAEDA!
NAEDA in Action: Letter issued in support of proposed tax legislation which, if enacted, would allow taxpayers without certain financial statements to deduct up to $2,500 for equipment repairs.
Current IRS regulations provide a $5,000 de minimis safe harbor deduction for capital expenditures provided that the taxpayers maintain and file specific financial documents, typically an audited financial statement. Many of NAEDA’s members do not need to file the applicable financial statements given the structure of their businesses. For those businesses, the IRS only provides a de minimis safe harbor of only $500 per invoice or item. NAEDA does not believe that its members or it’s member’s customers should have to bear an unnecessary accounting burden simply to qualify for a more reasonable exemption. Such costs are clearly incurred to keep equipment in an ordinarily efficient operating condition.
NAEDA’s VP of Government Relations, Natalie Higgins, met with Representative Rod Blum’s (IA) office to discuss the measure earlier this month. After providing NAEDA’s feedback on the initial measure, NAEDA issued a letter in support of the proposed legislation. NAEDA’s letter expressed approval of Rep. Blum’s efforts to increase the de minimis safe harbor from $500 to $2,500 per invoice or item. For a full copy of the letter, click here.
Two Senate Finance Committee members introduced separate bonus depreciation bills the last week of June. Reinstating this capital investment incentive is one of NAEDA’s top tax priorities for this congress.
Sen. Pat Roberts (R-KS) unveiled a proposal to permanently reinstate 50% bonus depreciation (S.B. 1660), which is a companion bill to Rep. Pat Tiberi’s (R-OH) House bill, H.R. 2510. Sen. Debbie Stabenow (R-MI) has also introduced legislation (S.B. 1667) that would reinstate bonus depreciation for 2015 and 2016.
NAEDA is supporting both these bills and at the same time asking members of congress to also reinstate both bonus depreciation and increased Sec. 179 expensing levels immediately to incentivize equipment purchases throughout the year. Both provisions expired at the end of 2014.
Dealers are asked to contact your lawmakers to restore 50% bonus depreciation and higher Sec. 179 levels. Calls and contacts with your senators and representatives are needed to get these pieces of legislation moving forward. Remember that in August, congress will be on their summer recess and back in their home districts which will the perfect time to raise the need for passage of these bills.
USDA recently released data showing the opportunities for agriculture of the Trans Pacific Partnership (TPP) to help boost agricultural exports across the 50 United States. TPP is a 21st century trade agreement that will promote job growth, increase farm income, generate greater rural economic activity, and help expand U.S. agricultural exports to some of the fastest growing countries in the Asia-Pacific region. USDA released its TPP data today after President Obama announced a set of new executive actions to help grow manufacturing in rural areas and to provide new markets to small businesses across our nation's heartland.
As a part of our ongoing effort to improve the value proposition for dealer members, the NAEDA Board of Directors recently decided to put Equipment Dealer magazine on a two- to three month hiatus while we work to expand the content and enhance the delivery of the publication. The “new and improved” magazine is a significant part of the associations’ ongoing communications initiative, which addresses our entire messaging platform – magazine, e-newsletter, web site, email and other key components.
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