Congress gives performing artists a tax break—but only if they earn less

What it does

This bill allows performing artists to deduct their work-related expenses (including manager/agent commissions) directly from their gross income on their tax returns, rather than as itemized deductions. The deduction phases out for higher earners and applies to taxable years beginning after December 31, 2024.

Why we flagged it

The bill's core mechanism is a targeted above-the-line tax deduction for performing artists' work expenses, with income-based phase-outs and cost-of-living adjustments. This is straightforward tax policy aimed at a specific occupational group.

What the text implies

• The phase-out structure (10 percentage points per $2,000 over $100,000 income) creates a steep marginal disincentive for artists earning above the threshold, potentially discouraging higher-income work or creating tax-planning incentives.
• Inclusion of manager/agent commissions as deductible expenses may shift some tax burden to the entertainment industry's intermediaries if they adjust fee structures in response.
• The $500 threshold for 'nominal employers' (likely gig platforms or venues) may reduce withholding obligations for small-scale performance venues, affecting payroll compliance.

Section numbers refer to the bill text the analysis read — linked under Primary records below.

Who it affects

Performing artists gain a tax deduction that reduces their tax burden and simplifies their filing process. The phase-out ensures the benefit is targeted to lower- and middle-income artists rather than high earners, and the cost-of-living adjustment maintains the deduction's real value over time.

Who stands to gain

• performing artists (individual taxpayers)
• entertainment industry workers

Named in the bill

Internal Revenue Code Section 62, performing artists, managers and agents, IRS

Where it stands

1 cosponsor: 1 Republicans.

• Mar 25, 2025 — Introduced · Congress.gov: “Introduced in Senate”
• Mar 25, 2025 — Referred to Senate Committee on Finance · Congress.gov: “Read twice and referred to the Committee on Finance”

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

Money around this bill

8 lobbying clients named this bill on 15 disclosure filings across 2 quarters, Dec 2025 to Jun 2026. Those filings disclosed $1,111,546 in lobbying spend. A filing names 13 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 88% of bills with at least one filing.

Mark Warner, the sponsor, reported $2,246,650 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
• International Alliance of Theatrical Stage Employees — $80,000 on 2 filings
• Actors' Equity — $47,500 on 2 filings
• Americans for the Arts — $34,046 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.