Performing Artist Tax Parity Act of 2023

Performing Artist Tax Parity Act of 2023

This bill modifies the above-the-line tax deduction for the expenses of performing artists (including commissions paid to managers or agents) to provide for a phaseout of such deduction for taxpayers whose adjusted gross income exceeds $100,000 ($200,000 for joint return filers). The $100,000 phaseout threshold is adjusted for inflation annually for taxable years beginning after 2023.

The Performing Artist Tax Parity Act of 2023, also known as Bill 118 hr 2871, is a piece of legislation currently being considered by the US Congress. The main goal of this bill is to provide tax relief for performing artists, such as musicians, actors, and dancers, who often face unique financial challenges due to the nature of their work.

One of the key provisions of the bill is the creation of a new tax deduction specifically for performing artists. This deduction would allow artists to deduct certain expenses related to their work, such as travel costs, equipment purchases, and training expenses, from their taxable income. This would help to level the playing field for performing artists who often incur significant expenses in order to pursue their careers.

Additionally, the bill seeks to address the issue of income volatility for performing artists by allowing them to average their income over a period of several years for tax purposes. This would help to smooth out fluctuations in income that are common in the entertainment industry, making it easier for artists to plan for their financial futures. Overall, the Performing Artist Tax Parity Act of 2023 aims to provide much-needed financial relief for performing artists and to recognize the unique challenges they face in their careers. By creating new tax deductions and addressing income volatility, this bill seeks to support the creative community and ensure that artists can continue to pursue their passions without facing undue financial hardship.