The Performing Artist Tax Parity Act of 2024 would update the Qualified Performing Artist (QPA tax deduction), which allows certain performing artists to deduct the cost of expenses incurred in the course of their employment.
U.S. Sens. Mark R. Warner of Virginia and Thom Tillis of North Carolina introduced the legislation last week to provide much-needed tax relief to working artists.
The Qualified Performing Artist tax deduction has not been updated since its inception in 1986 and is currently only available to individuals who make less than $16,000 a year, meaning that very few artists qualify. The legislation would update and increase the income ceiling to $100,000 for individuals and $200,000 for married joint filers, allowing more lower- and middle-income performing artists to receive tax relief for work-related expenses.
“The Commonwealth of Virginia has a rich culture fueled by small local artists who often use their own funds to subsidize their work,” Warner said. “I am proud to introduce legislation that updates an outdated tax deduction in order to help more artists cover costs of work-related expenses.”
Tillis said he is also honored to introduced the legislation “in support of North Carolina’s vibrant artistic community. This bill eliminates an unnecessary burden in our tax code, simplifying the path for artists to pursue their creative endeavors.”
Warner first introduced the legislation in 2021 amid recovery efforts from the COVID-19 pandemic that hit artists especially hard. The Performing Artist Tax Parity Act is endorsed by numerous organizations advocating for the rights of emerging artists, including the Department for Professional Employees, AFL-CIO, the Actors’ Equity Association, the Theatre Communications Group, and the Recording Academy/GRAMMYs. Companion legislation has been introduced in the House of Representatives by Reps. Judy Chu of California and Vern Buchanan of Florida.
“The film, television and streaming industry supports more than 2.74 million jobs nationwide. The Performing Artist Tax Parity Act (PATPA) rightly supports these workers by allowing them to deduct necessary work expenses when filing their taxes. The MPA again joins others in the creative community to proudly endorse the bipartisan PATPA,” Charles Rivkin, Chairman and CEO, Motion Picture Association, said.
SAG-AFTRA President Fran Drescher thanked Warner and Tillis for re-introducing the legislation.
“They are great champions of the creative professionals that keep our industry successful. People don’t realize how much performers must invest in themselves to be eligible before they secure a paying job. But our Congressional members must know that in order to protect the journeyman performer’s legitimate business deductions. We have been fighting for this legislation because it will allow working class entertainment and media professionals to cope with the escalating increase of their business expenses,” Drescher, a former actress who starred in the TV sitcom “The Nanny” in the 1990s, said.
According to Mitch Glazier, Recording Industry Association of America (RIAA) Chairman & CEO, RIAA applauds Warner and Tillis for their leadership and “addressing the unique challenges artists and musicians face under the tax code. We strongly support their effort to establish a more equitable performers’ deduction through their Performing Artist Tax Parity Act (PATPA). A healthy creative ecosystem – including fair tax rules – lays the groundwork for more jobs in music and for future stars to break through.”
Actress Brooke Shields is president of the Actors’ Equity Association.
“From stage managers to actors, musicians and stagehands, the overwhelming majority of arts professionals are hardworking Americans who have been paying hundreds and sometimes thousands of dollars more in taxes because of an inadvertent oversight when Congress last passed tax reform. Sens. Warner and Tillis have introduced a simple bipartisan fix that will level the playing field for arts workers, many of whom spend thousands of dollars out of pocket on business expenses. We’re grateful for the leadership of Senators Warner and Tillis for reintroducing this critical legislation that has the support of workers and employers in the arts community,” Shields said.
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Rebecca Barnabi
