The Parity for Main Street Employers issued the following statement in response to the release of the HEROES Act:
“The HEROES Act includes 1800 pages of legislative text and $3 trillion of relief, nearly all of it designed to help families, businesses, nonprofits, and governments survive the response to COVID-19. The repeal of the CARES Act NOL and loss limitation provisions, however, has exactly the opposite effect by raising taxes on family businesses who suffer losses this year.
“This proposed repeal is deeply disappointing. It runs counter to the bipartisan support similar policies have received in the past (including the House Democratic alternative bill released on March 23rd), it tilts the field by allowing public companies to carry back losses while blocking the same treatment for smaller family-owned businesses, and it extends the tax hike out beyond 2025, when the existing limitations were set to expire.
At a time when 20 million Americans are out of work and millions of businesses are closing their doors, the HEROES Act would raise their taxes. The Main Street Employers coalition strongly supports the NOL and loss limitation relief provided by the CARES Act and calls on Congress to keep this important relief intact as it considers additional responses to COVID-19.”