2023 Accomplishments

Legislative & Regulatory Issues

Blocked harmful provisions that were initially considered in the BBB and IRA, which continue to be considered in the current Congress and appeared again in the Green Book. Blocked these sweeping historic provisions:

  • Increases in the Top Income Tax Rate
  • Increases in Estate Tax Rate and Reduction in Lifetime Exemption
  • Eliminating of Valuation of Discounts for Estate Tax Purposes
  • Elimination of Grantor Trusts
  • Elimination of Step-Up in Basis
  • Limitations on Retirement Accounts and Elimination of Holding Private Stock in IRA’s
  • Increase in the Top Capital Gains Tax Rate
  • Curtailing Passthrough Business Profits (199A)
  • Implementation of a Surtax on income
  • Elimination of like Kind Exchanges and Accelerated Depreciation

Congressional Family Business Caucus

  • Worked closely with Congress to create the bipartisan, educational Caucus and to drive the agenda and activities of the Caucus. We were instrumental in growing the Caucus’ Membership to 33 Members of Congress in 12 months, who have joined the Caucus resulting from our outreach to Members and encouraging our families to support this initiative. Supported three meetings of the Congressional Family Business Caucus in Washington, DC this year.

    Education

    • Add 34,0000 ATA and 600 AED Members as Members of FEUSA
    • Annual Family Business Survey: 571 respondents in 42 states being distributed in person, virtually, website, social media, press releases, articles, etc.
    • Host 11 Family Business Center Executive Directors in DC attend Caucus meeting; Hill meetings
    • Host 25 attendees for Private Directors Governance Summit in DC; Legislative update and Hill meetings.
    • Author Family Business Magazine regular column “On the Hill” in 6 issues.
    • Regional Meetings; 25+; presentation around the country to present data, legislative update, voter attitudes; see calendar of events for details and locations.
    • Work with 40+ Family Business Centers attend 20+ Family Business Centers Events around the country.
    • Host three Quarterly Update Calls; with Congress members, staff, Frank Luntz, and others.
    • Host 10 Webcast for Sponsors,
    • Host monthly Podcasts on Spotify
    • Author and distribute “Saying It Out Loud” monthly Opinion piece.
    • Produce 20+ Family Business Videos on YouTube FEUSA and channels.
    • Record Family Business Centers Video’s: distributed via email, social media, press release, post on YouTube FEUSA channel.
    • Distribution database of 40,000+; 4 to 5 emails a week, one Press Release a week.

    2022 Accomplishments

    Over 2021- 2022, the Family Enterprise USA won many significant legislative victories benefiting family offices and family businesses.The recent Legislative Wins include Removing Damaging Tax Provisions from the Build Back Better Act. 

    • Increases in the Top Income Tax Rate
    • Increases in Estate Tax Rate and Reduction in Lifetime Exemption
    • Eliminating of Valuation of Discounts for Estate Tax Purposes
    • Elimination of Grantor Trusts
    • Elimination of Step-Up In Basis
    • Limitations on Retirement Accounts and Elimination of Holding Private Stock in IRAs
    • Increase in the Top Capital Gains Tax Rate
    • Curtailing Passthrough Business Profits / 199A Reduction

    Family Enterprise USAwas instrumental in educating legislators to Remove other tax provisions that were on the table:

    • Surtax of 5 % on income of $10 million
      • $200,000 for Trusts or Estates
    • Additional 3 percent surtax on income above $25 million 
      • $500,000 for Trusts or Estates
    • Net Investment Income Tax 3.8 % on non-passive income
    • Change in tax on Carried Interest
    • Elimination of Accelerated Depreciation
    • Elimination of Like Kind Exchanges

    Family Enterprise USA fought to pull these harmful tax provisions from the Build Back Better Act and ensuing Inflation Reduction Act of 2022, a major tax and spending package, which spanned over 18-months and ultimately passed through the budget reconciliation process. 

    The Build Back Better bill was passed by the House of Representatives in 2021 but not by the United States Senate. Concerns of Senator Joe Manchin and negotiations with Senate majority Leader Chuck Schumer were influential. In 2022, the framework of the Build Back Better bill was taken up,  resulting in the Inflation Reduction Act of 2022. After negotiations with Manchin, as well as Senator Krysten Sinema,the Inflation Reduction Act of 2022 passed by both chambers and became law in 2022 without the aforementioned tax provisions that would have been detrimental to family offices and family businesses. We thank our Supporter for making these legislative wins possible.

    2021 Accomplishments

    Advocacy

    • Facilitated the introduction of bipartisan, bicameral legislation to reduce the rate of the estate tax (Estate Tax Rate Reduction Act of 2021).
    • Facilitated 61 meetings with members of Congress and/or their staff (see attached schedule of meetings) which consisted of members from 23 states. Of the offices met with, 21 were members of the House Ways and Means or Senate Finance committees and nine were members of House or Senate Small Business Committees. As part of these meetings, Brownstein lobbyist Russ Sullivan was sent to Phoenix to meet with Sen. Kyrsten Sinema (D-AZ). These meetings resulted in five substantive provisions that would have severely affected families and their businesses being removed from the Build Back Better Act.
    • Hosted annual supporters meeting in Washington, DC, including remarks from Reps. Henry Cuellar (D-TX) and Jodey Arrington (R-TX). Members and supporters also had the opportunity to participate in 10 meetings on Capitol Hill with members of Congress and/or their staff.
    • Hosted four legislative update calls for supporters and members, including participation by Sen. Jon Tester (D-MT), various Congressional staff, and Frank Luntz, among other presenters.
    • Sent five call-to-action emails, which resulted in more than 300 communications to Members of Congress.

    Research

    • Organized a national poll by Frank Luntz on voter attitudes regarding taxes, the wealthy, and family businesses.
    • Facilitated Annual Family Business Survey, resulting in 172 respondents, three pop-up survey questions, and one member survey. Used the survey results in meetings with members of Congress and/or their staff.
    • Completed research on family businesses to determine their economic impact- used the research in meetings with members of Congress and/or their staff.
    • Supported and participated in the Family Business Estate Tax Coalition, including the commissioning of an EY study that provided a macroeconomic analysis of the impact of eliminating step-up in basis.