Actors' Equity Switches Firms on Performing Artist Taxes

Why It Matters

Actors' Equity Association switched lobbying firms in early September, ending its relationship with Meltsner Strategies LLC and engaging Alignment Government Strategies instead.

Actors' Equity Association has long lobbied on tax issues affecting performing artists. The union engaged Meltsner Strategies LLC in the first quarter of 2019, with lobbying activities focused on updating the Qualified Performing Artist deduction. The new registration covers both Arts/Entertainment and Taxation/Internal Revenue Code issues, with Jim Meltsner and Mike Beer among the registered lobbyists.

By the Numbers

Actors' Equity Association's lobbying registration with Alignment Government Strategies covers Taxation/Internal Revenue Code and Arts/Entertainment issues. The union spent $180,500 on lobbying over the past four quarters.

Jim Meltsner, Mike Beer and Jenny DiJames are the registered lobbyists at Alignment Government Strategies for the account. Meltsner previously served as president of Meltsner Strategies LLC while representing the union, filing quarterly reports through July.

Broader Context

Congress has considered legislation to modernize tax rules for performing artists for several years. Under current law, the Qualified Performing Artist deduction generally includes a $16,000 adjusted gross income limit. Actors' Equity has advocated for updating the provision since at least 2019, arguing that the threshold has not kept pace with performers' incomes and expenses.

The union supports H.R. 721, the Performing Artist Tax Parity Act, sponsored by Rep. Vern Buchanan (R-FL) with Rep. Judy Chu (D-CA) among its original cosponsors. The bill would eliminate the existing $16,000 adjusted gross income limitation and create a phaseout for the deduction beginning at $100,000 for individual filers and $200,000 for joint filers. The deduction would fully phase out at $120,000 and $240,000, respectively, with the thresholds adjusted for inflation.

The Trump administration proposed eliminating the National Endowment for the Arts from the federal budget. The House Appropriations Interior Subcommittee separately recommended 35 percent cuts to the NEA in its fiscal 2026 appropriations proposal.

Between The Lines

H.R. 721 would modify the Qualified Performing Artist deduction, which allows eligible performing artists to deduct certain employment-related expenses when calculating adjusted gross income.

The measure would increase the minimum compensation an artist must receive from each of at least two employers from $200 to $500, with the new threshold adjusted for inflation. It would also allow qualified performing artists to deduct commissions paid to managers or agents.

Actors' Equity has made the legislation a longstanding priority. The union backed previous versions of the proposal and supported the current bill after its introduction, arguing that performing artists can spend 20 percent to 30 percent of their income on expenses such as travel to auditions and payments to agents.

The Bottom Line

Actors' Equity Association's move to Alignment Government Strategies represents a change in lobbying firms but a continuation of its yearslong push to change the federal tax treatment of performing artists, including through the Performing Artist Tax Parity Act.

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