On Tuesday, April 2, 2019, the House Ways and Means Committee passed H.R. 1957 – Taxpayer First Act of 2019 clearing the way for the bill to be considered on the floor of the U.S. House of Representatives. Why is this important? If passed, this would allow for near real-time access to IRS verification of income-making credit decisioning much faster. This has been a priority for the Equipment Leasing and Finance Association Advocacy efforts and part of the annual push through the Capitol Connection.
Why is This Important to the Equipment and Asset Finance industry?
Today, in the equipment leasing and asset finance market, many agreements are completed in hours. The ability to respond fast to new opportunities can be the difference between winning or losing a deal. And, in addition to speed to market, competition for new business continues to increase making deal decisioning more important than ever. With new automation, the application and approval process may be completed electronically, never requiring personal interaction between lessor and lessee. But the efficiency of an electronic transaction can be significantly hampered if a lessor needs IRS income verification, which can take days to receive. If passed, the lessor will be able to immediately complete IRS income verification resulting in an accurate assessment of credit risk.
Capitol Connections is Making a Difference.
This bill progressing forward reinforces that our voices and advocacy are working. Last year was the first time I participated in the ELFA Capitol Connection. This is where we as an industry have an opportunity to share with key lawmakers the needs of the equipment and asset finance industry. We are educating them on the importance of what we do and the significance of the asset finance function in powering our economy. This event allowed me to see how this education effort can translate into meaningful legislation that directly impacts our daily lives. Lobbyists have an important role, but what is far more important is that our representatives hear from us – their constituency. There is another Capitol Connection coming in May – and just like we discovered at the ELFA Women’s Leadership Forum – one of our superpowers is our combined voice. Let’s come together to make our voices heard on Capitol Hill!
Kristie Kosobuski, Sr. Director Product Management and Product Marketing, IDS