EDA Asks Lawmakers to Fix Pass-Through Tax Provision

In the wealth management business there are two models: one in which the financial advisors (FAs) are independent contractors and are eligible for the pass-through tax treatment and the other model in which the FAs are employees (Employee FAs) and not eligible for the pass-through tax treatment. We believe that adopting language in the tax code that chooses one business model over another was an unintended consequence of the tax reform effort, and that it can be corrected.

EDA Letter to Conferees on Pass-Through Taxation