On Monday, President Barack Obama signed H.R. 674 into law, striking a blow for businesses and government contractors everywhere by officially repealing the 3% withholding tax.
Had this important legislation not been approved, 3% of the value of most local, state and federal contracts would’ve been withheld from contractors starting in 2013, potentially posing a severe threat to cash flow for all parties involved on public projects.
NACM has opposed this tax since it was enacted in 2006, and would like to take this opportunity, now that the 3% withholding requirement is little more than a memory, to officially thank all of its members for their support over the last five years, and for their support of this most recent repeal legislation. Without your efforts, none of this would have been possible, so thank you for all you've done to ensure the repeal bill's success.
For more information, read NACM’s statement in the NACM Press Room.
Jacob Barron, CICP, NACM staff writer