Businesses, others seek tax law resolution

The National Retail Federation joined nearly 300 organizations such as restaurants, grocers, building contractors and firefighters in urging Treasury Secretary Steven Mnuchin to issue guidance resolving errors in the 2017 tax reform law related to depreciation rules and “carryback” of operating losses.

“The delay in correcting these provisions has caused economic hardship (that is) delaying investments across the economy that impact the communities in which these companies are doing business,” the groups wrote in a letter. “We urge the Treasury Department to issue guidance that will assure that these provisions are administered as intended by Congress.”

In addition to economic impact, the letter said, the drafting errors have raised safety concerns by delaying projects such as upgrading sprinkler systems, “creating a more perilous situation for our nation’s firefighters.”

The need to correct the errors is becoming urgent because most retailers must file their first income tax returns related to the change on Nov. 15, the letter said.