On Wednesday, President Trump unveiled his proposal to dramatically remake the U.S. tax code. Under the president’s plan, all American businesses would face a much lower tax rate — 15 percent vs. the current maximum rate of 35 percent. Additionally, Trump’s plan would eliminate the estate tax or “death tax.” That’s seen as a plus for smaller, family-owned businesses, which have a large stake in the fenestration industry.

On the down side, Trump’s proposal protects the popular mortgage interest deduction for homeowners, but it  also doubles the standard deduction for individual taxpayers, which could greatly reduce the importance of the mortgage interest deduction and possibly hurt the housing market.

Here are some trade-association reactions to the tax plan:

National Association of Home Builders (NAHB)

“NAHB commends President Trump for tackling tax reform and keeping the mortgage interest deduction as one of two individual deductions,” said Granger MacDonald, chair of the NAHB and a home builder and developer from Kerrville, Texas. “However, doubling the standard deduction could severely marginalize the mortgage interest deduction, which would reduce housing demand and lead to lower home values. On the corporate side, NAHB strongly supports the provision to lower the tax rate to 15 percent for pass-through entities. This would provide much-needed tax relief for America’s small businesses, which generate the lion’s share of job and economic growth.  Policymakers also need to take steps to ensure that lower corporate rates do not diminish the effectiveness of the Low Income Housing Tax Credit program, particularly given that the nation is experiencing an acute shortage of affordable housing.”

Window and Door Manufacturers Association (WDMA)

“WDMA is committed to comprehensive tax reform and appreciates the principles laid out in the Trump plan,” said Kevin McKenney, WDMA director of government affairs. “While consensus on tax reform is a challenging endeavor in this political climate, we hope the Trump administration will clearly articulate strong support for preserving the mortgage interest deduction as it currently exists in the tax code, which has been a cornerstone of American housing policy.”

National Lumber and Building Material Dealers Association (NLBMDA)

“The proposal is a positive development in passing comprehensive tax reform for the first time in over 30 years,” the association said in a statement. “NLBMDA has long held that the estate tax should be fully and permanently repealed, which would allow family-owned businesses to more easily be passed on to the next generation …. The tax reform proposal also cuts the income tax rate for pass-through businesses to 15 percent. Corporate income tax rates would also drop to 15 percent under the plan. NLBMDA has pushed for tax rate parity for small businesses, such as those structured as partnerships and limited liability companies, to help spur investment and economic growth. Caution is needed, though, regarding the mortgage interest deduction. President Trump’s tax proposal keeps the popular tax incentive; however, it doubles the standard deduction and repeals the state and local tax deduction. Those changes would cause fewer homeowners to claim the mortgage interest deduction and would be a major change to the nation’s housing policy.”

National Association of Manufacturers (NAM)

“President Trump has listened to those who feel they work harder today for less or are out of a job,” said NAM president and CEO Jay Timmons. “The president delivered on his commitment to put the force of the White House behind policies that will grow the manufacturing economy in the United States and raise standards of living for everyone in our country. By modernizing our tax code and making it more competitive, manufacturers—and all businesses—will find it easier to invest their next dollar and create their next job here in the United States. It can mean more jobs, better jobs and more money in their paychecks. It means lifting more people up and empowering more Americans to improve their lives.”

National Federation of Independent Business (NFIB)

“We applaud President Trump for continuing to push for tax reform that would provide relief to businesses of all sizes and structures,” said president and CEO Juanita Duggan. “Small business makes up nearly half of the economy and nearly half the jobs. If the goal of tax reform is to boost the economy, then tax reform must start with small business. The president’s proposal for rate parity would make American businesses immediately more competitive. A low, single business tax would supercharge the economy, and create an even playing field for small businesses and large corporations. We are very happy that the White House has listened to small businesses.”

U.S. Chamber of Commerce

“As an advocate for pro-growth tax reform, the U.S. Chamber welcomes the White House’s strong push today to advance tax reform,” said president and CEO Thomas J. Donohue. “We’ve got a once-in-a-generation chance to do tax reform, and if we do it right, it can be the single most important step our leaders take to drive economic growth. To get this done, it will take leadership from the White House, hard work and compromise in the House and the Senate, and engagement from the private sector. We are encouraged to see the White House push forward new policies that can help drive job creation, investment, and economic growth. It is critical to accelerate the economy after a decade of sluggish growth. We hope this action today from President Trump and his team will advance the national conversation so we can get on with reforming our outdated tax code.”

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