HITS Act
Bill Making Recording Costs Tax-Deductible Added to Congress Budget Package
The HITS Act, which would allow musicians, technicians and producers to deduct 100% of recording expenses up to $150,000 on their taxes in the year they’re incurred, remains unchanged from its previous versions. It was first introduced in the House on July 31, 2020 (followed by a companion bill in the Senate on Dec. 3, 2020), though it failed to pass as part of the last two pandemic relief packages despite intense lobbying from independent music advocates to have it included. It was reintroduced by its original House and Senate sponsors back in March. Under the current tax code, music creators are required to amortize production expenses for tax purposes over the economic life of a sound recording, a period that usually ranges between three and four years. If passed, the HITS Act wou...
Music Biz Applauds Pandemic Aid Package: ‘These Relief Provisions Will Save Lives and Livelihoods’
“We also welcome the inclusion of consensus-driven intellectual property reforms in the omnibus bill. The Copyright Alternative in Small-Claims Enforcement (CASE) Act and Protect Lawful Streaming Act (PLSA) will strengthen creators’ ability to protect their works against infringement online, and promote a safer, fairer digital environment, which are particularly needed as the arts struggle to survive the pandemic. We look forward to continuing our work to provide greater relief for the American creative community.” Chief among the music and entertainment-focused measures included in the bill is the Save Our Stages Act, which will provide $15 billion in relief funding for “live venues, independent movie theaters and cultural institutions” that have been devastated by coronavirus-related clo...
