Republican presidential candidate John McCain may be putting the deductibility of advertising back on the congressional agenda. Yesterday in announcing his "21st Century Family Security Plan,'' the Arizona senator said he wanted to close "special interest tax loopholes'' and described one of the loopholes as marketers being able to immediately deduct ad costs. Sen. McCain suggests ad costs be amortized over time rather than deductible in the year in which they occur, but the plan provides no specifics. The proposal also asks that publishers be required to depreciate rather than deduct costs of increasing circulation and calls for elimination of special tax treatment for returns of magazines, books and records. Sen. McCain has taken a different view of ad deductibility in the past.
Copyright January 2000, Crain Communications Inc.