Tax Cuts & Jobs Act (TCJA) 199A Provision | Position Paper

This position paper argues for preserving the Section 199A deduction for pass-through entities when TCJA provisions expire at the end of 2025. It explains that 95% of U.S. businesses—including most insurance brokerages—are pass-through entities that would otherwise face effective tax rates far above the 21% corporate rate. Treasury regulations confirm insurance brokerage services qualify for the deduction. The Council urges Congress to maintain 199A to ensure tax parity, support reinvestment in employees, and preserve the competitiveness of family-owned brokerage firms.