This week the House Committee on Small Business held a hearing to consider reforms that would promote equality and growth for S corporations. Rick Klahsen, a member of the S Corporation Association’s Board of Advisors testified on our behalf.
Rick’s testimony reviewed the dramatic growth of S corporations over the last half-century and identified critical reforms Congress should consider to improve the S corporation rules and level the playing field …
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Lots of activity on tax policy with implications for S corporations this week.
On Monday, the White House held a forum on the expiring tax relief and its potential to hurt the economy if it is not extended. In preparation for the forum, Treasury issued a collection of issue summaries that focus on the importance of keeping tax rates low, including the top two individual tax rates most in danger of going up in the next Congress.
As friends of S-Corp know, the debate over the …
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Good news for the S corporation community! Senators Blanche Lincoln (D-AR), Orrin Hatch (R-UT), Gordon Smith (R-OR) and Ben Cardin (D-MD) introduced the S Corporation Modernization Act of 2008, S. 3063, last evening.
The introduction of this legislation helps us move forward on our list of priority reforms, including critical relief from the built-in gains and passive investment rules while expanding the list of potential S corporation shareholders to allow for direct investment from foreign sources and retirement vehicles.
As S-Corp readers know, Senator Lincoln has been a long-time champion of our issues. In her statement introducing the bill, she made clear …
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Foreshadowing things to come, the House on Thursday adopted legislation to increase Veterans education benfits by raising marginal tax rates on individuals – including S corporation shareholders – making $500,000 a year or more. As Congress Daily reported:
“The House, as one portion of a three-part war funding supplemental spending package, approved a provision that would pay for a four-year college degree at any public university for veterans of the wars in Iraq and Afghanistan for at least three years. To pay for the increase — $52 billion over 10 years — the House Thursday voted to impose a 0.47 percent …
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Just to keep everybody up to speed, there are a couple recent tax items of note.
First, CongressDaily reports the House may take up yet another extender package prior to the Memorial Day recess. This package reportedly includes energy provisions as well as the expired extenders like R&E and the state and local sales tax deduction. An extension of the Alternative Minimum Tax “patch” does not appear to be under consideration.
Regarding the central issue of whether the revenue impact of the package will be offset by accompanying tax increases, Majority Leader Steny Hoyer …
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