U.S. Chamber Letter on S. 604, the “Mobile Workforce State Income Tax Simplification Act of 2019”

TO THE MEMBERS OF THE UNITED STATES SENATE:

The U.S. Chamber of Commerce strongly supports, and urges you to cosponsor, S. 604, the “Mobile Workforce State Income Tax Simplification Act of 2019.” Members of Congress who cosponsor this bill will receive credit for the Leadership component of their “How They Voted” rating.

The “Mobile Workforce State Income Tax Simplification Act of 2019” would establish a uniform threshold for taxation, when workers would be required to file and businesses to withhold tax only after an employee has worked more than 30 days in a state. This threshold would reduce the compliance and administrative burdens to both employees (who often have to legally file income tax returns in every state where they work, even if only for one day) and employers (who often face a myriad of state withholding requirements for their employees’ travel). As technological advances increase workforce mobility, it is imperative that we modernize reporting and compliance rules to keep pace with these innovations.

The Chamber urges you to support this vital bipartisan and bicameral legislation that would simplify and modernize state income tax requirements, to ensure these compliance burdens do not impede our economy from growing and prospering.

Sincerely,

Neil L. Bradley