KyCPA-PAC 101: Kentucky counts on cpas
November 1, 2023
By P. Anthony Allen
2023 was another eventful year for the Kentucky General Assembly during the spring Legislative Session, with the passing of various policy reforms. Although state tax issues are typically not addressed during short 30-day Sessions, policymakers made significant modifications to Kentuckys tax code with major impacts on the states business community. From the onset of critical policy decisions, KyCPAs advocacy team remains present and active in the state Capitol. Currently, there are no Kentucky CPAs serving in elected positions either in Frankfort or Washington. Therefore, the Society serves as an objective resource by utilizing the collective expertise and professional guidance of Kentucky CPA practitioners. However, how do state policy reforms connect back to the KyCPA Political Action Committee (KyCPA-PAC)? It would be best to understand what the KyCPA-PAC is, what it does and how it plays an important role in the Kentucky policy process.
What is the KyCPA-PAC?
Political Action Committees (PACs) are an influential role in todays modern political and policy environment. PACs can tailor to specific candidates, issues, and interests in national, state, and local elections. PACs fundraise primarily to financially express political speech via our First Amendment rights as U.S. citizens. The KyCPA-PAC serves as the primary tool for the CPA professions political voice in Kentucky and exists as a separate entity from KyCPA. The KyCPA-PAC is supported solely by voluntary contributions from KyCPA members, of which less than 2 percent participate annually.
The KyCPA-PACs Board of Trustees direct the responsibilities and activities of the KyCPA-PAC and are voluntary members. Trustees originate from around the Commonwealth and possess an immersive understanding of Kentuckys political ecosystem. All Trustees must be KyCPA members committed to assessing candidate campaigns and promoting the CPA profession.
Connections to policy wins
Due to members continued support through the KyCPA-PAC, KyCPA played a pivotal role in advancing the CPA professions interests and promoting our members expertise during the 2023 Legislative Session.
The Societys key accomplishments this Session include:
- Successfully securing an update to Kentuckys conformity with the U.S. Internal Revenue Code, effective January 1, 2023. The states second consecutive annual update, demonstrating our commitment to staying aligned with federal standards;
- Advocating for state and local tax (SALT) parity relief via the implementation of a new pass-through entity tax (PTET) with specific statutory guidance and retroactive relief measures;
- KyCPA is actively engaging the Kentucky Department of Revenue to assist with the issuance of PTET regulatory guidance;
- Safeguarding CPA Mobility by defeating an initiative that the aime was to complicate Kentuckys licensing framework. Our firm stance preserved the ability of CPAs to practice across state lines without undue bureaucratic hurdles;
- Successfully defeating an amendment that posed a significant threat to Kentuckys manufacturing supplies sales tax exemption, preserving a crucial benefit for our business community;
- Securing the deductibility of restaurant revitalization grant funds covering business expenses between January 1, 2020 and March 11, 2023, providing essential support to an industry significantly impacted by the pandemic.
These accomplishments are critical as Kentucky legislators and policymakers count on CPAs for professional guidance and real-world expertise in finance, tax, and advisory services. Your consideration to further invest in the KyCPA-PAC is of immense value as we continue to advance our profession.
2023 and 2024 elections
Looking ahead to the November elections, the outcomes will play a pivotal role in shaping Kentuckys policy landscape. Your contributions will be crucial in electing policymakers who recognize and champion the importance of the CPA profession into 2024.
Contributions to candidates made at various times during a two-year election cycle, decisions are based upon the following policies set by the Trustees:
- The KyCPA-PAC supports its KyCPA members running for office;
- The KyCPA-PAC supports incumbents running for re-election who value the CPA profession;
- The KyCPA-PAC supports political parties and candidates on a bi-partisan level.
The objective of the KyCPA-PAC is to protect the trust, confidence and reputation the CPA certificate holds in the public. Contributions to the KyCPA-PAC are to support candidates for the Kentucky legislature or constitutional offices who promote sound policies while defeating issues harmful to the CPA profession. KyCPA-PAC funds help us maintain and enhance our advocacy efforts and open lines of communication with key policymakers.
Your voice in Frankfort
As the 2024 Legislative Session approaches in January, the Kentucky General Assembly will reconvene for a 60-day Session. Like many other states, the Commonwealth has a part-time legislature that meets typically between January and April each year. This upcoming Session will focus primarily on the fiscal years 2025 and 2026 biennial state budget, simultaneously elevating other issues associated with appropriations and revenue measures.
KyCPA is an objective resource to policymakers during the legislative sessions, especially concerning tax and licensing policy. Support for the KyCPA-PAC will remain critical as relationships and consistent communication will provide guidance for new tax proposals and protect the CPA profession. The policies that impact CPAs and the regulations that dictate how they operate in their profession can be unique and complex. Therefore, it is vital the Society remains present and available to policymakers as a guide to provide understanding, background and context to CPA policy initiatives.
However, with less than a 2 percent participation rate from the KyCPA membership, the KyCPA-PAC Board of Trustees is asking members to consider getting involved. Even if you are not particularly interested in the political process, the KyCPA-PAC provides a means to express political speech to enhance your professions unique skills and expertise with Kentuckys policymakers. Either through a $5 or the maximum $2,100 contribution, all contributions are greatly valued and assist in supporting the profession.
How can I get involved?
Financial contributions to the KyCPA-PAC are the most efficient method to express your political speech on behalf of the CPA profession. KyCPA-PAC funds are to promulgate our interests, such as the accomplishments achieved during the 2023 Session.
Ways to contribute
Send individual contributions via check, credit card, or direct payment apps.
- Checks: Make out and mail to KyCPA-PAC, 1735 Alliant Avenue, Louisville, Kentucky 40299.
- KyCPA website direct payments: Log into your KyCPA member account.
- If you opt to contribute using KyCPA-PAC's Givebutter platform, deselect the suggested tip amount. Within the Givebutter platform, you can use Apple Pay, Google Pay, Venmo, Paypal, etc. to contribute.
Questions or Comments
If you have any questions, comments, or feedback, please feel free to reach out to KyCPA Government Affairs Director, P. Anthony Allen, at email@example.com.
Thank you for considering to support the KyCPA-PAC.