Ways and Means Committee Amends the Tax Cuts and Jobs Act
Posted on Nov 8, 2017
On Monday, the House Ways and Means Committee approved an amendment offered by Kevin Brady to the proposed tax reform bill. The amendment revises the rules targeting the international base erosion by providing a foreign tax credit, among other items. This amendment also imposes an additional holding period requirement for capital gain on carried interest, increasing the holding period from one year to three years. In addition, the amendment also allows employees of non-publically traded companies who receive stock options to defer recognition of those options for up to five years and raises...
Continue Reading
Senate Will Not Release Bill Until House Finishes Markup
Posted on Nov 8, 2017
The House Ways and Means Committee continues the markup process that began on Monday. No new amendments were agreed to in yesterday’s markup session but the state and local tax deduction and pass-through entities remain key issues in the debate concerning the legislation. The House’s negotiation process has important implications for the Senate timeline as the Senate bill will not be released on Thursday as originally indicated by Majority Leader Mitch McConnell. Instead, the Senate will release its version of the tax reform legislation after the House committee has finished its markup....
Continue Reading
Legal Alert: How a Framework Becomes a Law: House Republicans Release Tax Reform Bill
Posted on Nov 7, 2017
View the Eversheds Sutherland Legal Alert providing an overview of the provisions of H.R. 1 here.
Continue Reading
Legal Alert: Energy Tax Changes Proposed by House Republicans Tax Reform Bill
Posted on Nov 7, 2017
View the Eversheds Sutherland Legal Alert discussing the energy tax provisions of H.R. 1 here.
Continue Reading
Legal Alert: The Tax Cuts and Jobs Act, Take One: A Methods-Based Overview of the Initial Draft of the House Tax Bill
Posted on Nov 7, 2017
View the Eversheds Sutherland Legal Alert discussing accounting method issues in H.R. 1 here.
Continue Reading
Legal Alert: Tax Cut and Run: Employee Benefits Change Under the Tax Cuts and Jobs Act
Posted on Nov 6, 2017
View the Eversheds Sutherland Legal Alert discussing the employee benefits provisions of H.R. 1 here.
Continue Reading
Senate Bill Anticipated Later This Week; House Begins Markup of Their Tax Reform Legislation
Posted on Nov 6, 2017
The House Ways and Means Committee began marking up the GOP tax bill this afternoon, and the process is expected to continue until Thursday. The markup will start with opening statements and then amendments are expected to be introduced throughout the week by Chairman Kevin Brady. With the floor open to Democrats, discussions and amendments are anticipated to focus on the repeal of deductions for state and local taxes, home mortgage and the adoption credit. Senate Finance Chairman Orrin Hatch says he plans to release a bill for his committee to consider once the House Ways and Means...
Continue Reading
Joint Committee on Taxation Releases Description of the Tax Cuts and Jobs Act
Posted on Nov 6, 2017
The Joint Committee on Taxation has published the description of the House’s recently released tax legislation, the Tax Cuts and Jobs Act, which contains an explanation of the various bill provisions. The House Committee on Ways and Means has scheduled a markup on November 6, 2017. 2017 Read the full report. Read the description of the amendment.
Continue Reading
House Ways and Means Committee Releases Amendment in the Form of a Substitute to Tax Reform Bill
Posted on Nov 3, 2017
The House Ways and Means Committee released an amended version of the Tax Cuts and Jobs Act. Among other changes, the amended bill no longer contains a limitations on treaty benefits provision for deductible related party payments. Read the revised bill here.
Continue Reading
House Releases Tax Bill Titled “Tax Cuts and Jobs Act”
Posted on Nov 2, 2017
The House Ways and Means Committee released the first draft of their tax reform legislation, titled “Tax Cuts and Jobs Act.” The Senate is expected to release their draft legislation before Thanksgiving. Read the section-by-section summary and the text of the bill
Continue Reading
Corporate Tax Reforms Proposed by House’s Tax Bill
Posted on Nov 2, 2017
The tax bill released by the House Ways and Means Committee offers three major changes to corporate tax legislation. First, businesses will be able to immediately deduct qualified property for five years. The deduction is no longer limited to taxpayers that had “original use” of the property. The bill excludes from the definition of qualified property any property used by a regulated public utility company or any property used in a real property trade or business. Second, the net interest expense deduction for every business, regardless of its form, is limited to 30 percent of the business’s...
Continue Reading
Rates Proposed by House’s Tax Bill
Posted on Nov 2, 2017
The tax bill released by the House Ways and Means Committee proposes significant changes to both individual and corporate rates. The corporate tax rate will be lowered from 35% to 20% while the rate on “pass-through” businesses will be lowered to 25%. On the individual side, tax rates will be consolidated into four brackets: 12%, 25%, 35% and 39.6%. Read more: Policy Highlights – The Tax Cuts & Jobs Act; Committee on Ways and Means – Tax Cuts & Jobs Act
Continue Reading
Delayed Tax Reform Bill Is Expected To Be Released Thursday
Posted on Nov 1, 2017
Kevin Brady, the Republican chair of the House Ways and Means Committee, stated that the tax reform bill will be released on Thursday. The bill was originally slated to be released today but there are still several unsettled matters related to the plan, such as the in threshold for the top marginal individual tax rate. The Ways and Means Committee remains set to mark up the bill on Monday. Read more: House Republicans are delaying the rollout of their massive tax reform bill
Continue Reading
Set Phasers to Stun: Corporate Tax Cuts May Be Delayed Under Phase-in Plan
Posted on Oct 31, 2017
An unnamed member of the House Ways and Means Committee stated Monday that the Committee is discussing a phase-in plan for the corporate tax-rate cut. In response, Kevin Brady, Chairman of the House Ways and Means Committee, said only that the Committee preferred an option with no phase-in. Both President Trump and Treasury Secretary Steve Mnuchin also expressed their preference for an immediate tax cut. The proposed phase-in plan would reduce the corporate tax rate to an ultimate rate of 20% by reducing the rate by 3% a year over 5 years beginning in 2018, and would be less costly compared...
Continue Reading
Even with Concession on Property Tax Deductions, Tax Bill Aimed for Wednesday Release Faces Early Opposition
Posted on Oct 30, 2017
Kevin Brady, Chairman of the House Ways and Means Committee, announced that the House’s tax plan will allow individuals to deduct their state and local property taxes from their federal returns, “to help taxpayers with local tax burdens,” although not their state and local income or sales taxes. However, the National Association of Home Builders has already voiced its opposition to the tax bill after learning that the House would not be moving forward with a proposal to convert homeowner deductions into a credit. To keep groups from mobilizing against the bill and causing further setbacks,...
Continue Reading