Major Tax Law Includes Cleaning Industry Priorities

On July 3, Congress approved a major tax and spending bill, which the U.S. House of Representatives passed with a final vote of 218-214. The Senate passed the legislation with a final vote of 51-50 on July 1. Vice President Vance cast the tie-breaking vote in the Senate. President Donald Trump signed the bill into law on July 4.

The legislation includes several key tax provisions that will directly benefit the cleaning and facility-solutions industries. ISSA strongly supported the following provisions in the bill:

• Expanded 529 Accounts for Workforce Training: The legislation expands qualified expenses under 529 savings plans to include post-secondary training and credentialing, such as licenses and professional certifications like those used for cleaning workers. ISSA members advocated for this expansion as part of the 2025 ISSA Clean Advocacy Summit.
• Making the Small-Business Deduction Permanent: Solidifying the Section 199A deduction will provide tax certainty for pass-through cleaning businesses, allowing them to reinvest in their operations and workforce without the threat of future tax hikes.
• Restoring 100% Bonus Depreciation: Renewing immediate expensing of capital investments through 100% bonus depreciation will encourage cleaning companies to invest in new equipment and technologies—spurring productivity, healthy spaces, and economic growth.
• Revived Expensing of Research and Development Costs: The bill permanently restores the ability of businesses to deduct domestic research and experimental expenditures immediately, providing critical support for innovation in the cleaning sector.

“The 2025 tax package Congress passed significantly advances the cleaning and facility-solutions industries by expanding workforce training and promoting competitiveness through pro-growth tax policies,” said ISSA Director of Government Affairs John Nothdurft. “ISSA thanks Congress and President Trump for including these important provisions in the final bill and passing it into law.”

Facility managers who participated in Cleaning & Maintenance Management’s 2025 annual In-House Facility Management Benchmarking Survey listed employee training as their biggest concern with their cleaning staff. According to the U.S. Bureau of Labor Statistics, 69% of janitors and 75% of housekeepers have a high-school diploma or less.

ISSA members sent nearly 150 messages to their members of Congress urging them to support ISSA’s legislative priorities, including a bill to transform 529 college-savings plans into career-savings plans. And the association served as a leading member of the Freedom to Invest in Tomorrow’s Workforce Coalition, a broad group of organizations that advocated for beneficial workforce-development public policies to strengthen the economy.

Register now for the free ISSA webinar Tariffs and Taxes and Training, Oh My at 12 p.m. CT on July 17 to learn more about the 2025 tax package and how the new law is likely to impact the cleaning industry.

For questions about ISSA Advocacy, including the recently passed tax bill, contact ISSA Senior Government Affairs Manager Stacy Seiden.