Congress quietly gives performing artists a long-overdue tax break

What it does

This bill allows performing artists to deduct their work-related expenses (like costumes, instruments, travel, and manager commissions) directly from their gross income on their tax returns, rather than having to itemize deductions. The deduction phases out for higher earners and applies to tax years starting in 2025. This primarily benefits musicians, dancers, actors, and other performers who currently face tax disadvantages compared to other self-employed workers.

Why we flagged it

The bill's core function is straightforward: it creates an above-the-line tax deduction for performing artists' business expenses. This is a targeted tax policy change with no hidden mechanisms or riders.

What the text implies

• The phaseout mechanism (10 percentage points per $2,000 of income above $100,000) creates a marginal tax-rate cliff that may discourage some artists from earning above the threshold, though the cost-of-living adjustment helps preserve the benefit's real value.
• By explicitly including manager/agent commissions as deductible expenses, the bill may increase the tax deductibility of payments to talent representatives, potentially benefiting the talent management industry indirectly.
• The $500 threshold for 'nominal employers' (likely gig platforms or venues that issue 1099s) may reduce compliance burden for small venues and platforms that hire performers, though the practical effect depends on IRS implementation.

Who it affects

Performing artists gain a meaningful tax relief that levels the playing field with other self-employed professionals who can already deduct business expenses above-the-line. The phaseout ensures the benefit targets working and mid-career artists rather than the highest earners, and the cost-of-living adjustment protects the benefit's value over time.

Who stands to gain

• performing artists (musicians, actors, dancers, comedians)
• talent management and booking agencies
• small music venues and independent theaters

Named in the bill

Internal Revenue Code Section 62, performing artists, manager/agent commissions, cost-of-living adjustment, IRS

Where it stands

26 cosponsors: 18 Democrats, 8 Republicans.

• Jan 24, 2025 — Introduced · Congress.gov: “Introduced in House”
• Jan 24, 2025 — Referred to House Committee on Ways and Means · Congress.gov: “Referred to the House Committee on Ways and Means”

Dates and quoted wording are Congress.gov's action record; the timeline shows status changes, not every procedural step.

Money around this bill

9 lobbying clients named this bill on 17 disclosure filings across 2 quarters, Dec 2025 to Jun 2026. Those filings disclosed $1,211,546 in lobbying spend. A filing names 11 bills on average, so that figure is what each filing reported, not a share belonging to this bill.

More lobbying clients named this bill than 89% of bills with at least one filing.

Vern Buchanan, the sponsor, reported $544,700 in PAC receipts in the 2026 cycle.

• Motion Picture Association Inc — $640,000 on 1 filing
• International Alliance of Theatrical Stage Employees — $270,000 on 2 filings
• Sag-aftra — $100,000 on 2 filings
• International Alliance of Theatrical Stage Employees — $80,000 on 2 filings
• Actors' Equity — $47,500 on 2 filings

Lobbying Disclosure Act filings through Jul 20, 2026. A filing shows who paid to lobby on a bill it names, not what changed.