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Lobbying expenses are nondeductible for Federal income tax purposes and dues paid to Associations are nondeductible to the extent of the association’s lobbying expenditures. This provision was contained in the Omnibus Budget Reconciliation Act of 1993.

The deduction of amounts paid to the Association as ordinary and necessary business expenses is subject to federal limitations imposed as a result of the Association’s lobbying activities. It is estimated that 15.43% of the members’ dues for 2017 are nondeductible.