Washington, D.C. Associated Builders and Contractors (ABC) today applauded final passage of the 3 percent withholding tax repeal measure (H.R. 674) by the U.S. House of Representatives. The legislation removes a mandate that would have required federal, state and local governments to withhold 3 percent of nearly all payments to contractors beginning Jan. 1, 2013.

By an overwhelming bipartisan vote, the U.S. House of Representatives has removed an economic cloud of uncertainty hanging over the nation’s construction industry, said ABC Vice President of Federal Affairs Geoff Burr.  We are hopeful that the president will act quickly to sign the 3 percent withholding tax repeal measure into law.

This important vote is just a beginning. We call on Congress to continue its efforts to eliminate job-killing, burdensome rules and regulations and provide small businesses with a fair and stable economic environment that is needed to spur job growth and get people back to work, Burr said.