Hice: One step closer to tax reform, relief

Hice: One step closer to tax reform, relief

Hice: One step closer to tax reform, relief

Critics also point out that while business tax cuts are permanent, some of the cuts targeted at middle-class individuals are temporary.

The Senate Plan is moving very quickly and is expected to proceed on a schedule roughly one week behind that of the House Plan.

Standard deduction: The bill essentially doubles the standard deduction from $6,350 to $12,200 for single filers and from $12,700 to $24,400 for joint filers.

Tax cuts for western NY families are one step closer to reality. The bill would also lower the corporate tax rate, which is now the highest in the industrialized world.

Mortgage interest deduction: The House bill caps this deduction at $500,000, while the Senate leaves it at $1,000,000. However, the credit would have a short shelf life and would expire after five years.

Find out what the industry is saying about the tax reform proposals that are working their way through Congress. He says the House's retroactive rule runs counter to that. Brady said he's confident the House bill would benefit small businesses and spark job growth, noting that the legislation allows for things like immediate expensing, which would allow business owners to write off the total cost of business expenses right away. Ending the "death tax" is an article of faith for many conservatives, but doing so creates both fiscal and political problems. In addition, foreign profits invested in non-cash assets offshore would be taxed at the rate of 7%. Those profits are now not taxed until they are returned to the United States, giving companies an incentive to keep that money offshore since they would be taxed at the current corporate tax rate of 35 percent. The new bill would limit the top tax rate on these earnings to 25%.

The legislation passed by the House today lowers tax rates, collapses tax brackets, increases the child tax credit and doubles the standard deduction, which will allow families to keep more of their paychecks.

Finally, the new law would repeal the federal estate tax, a long-time target of GOP legislators, but not in one shot.

Julia Lawless, communications director for Senate Finance Committee Chairman Orrin Hatch (R-UT), told Focus: "Chairman Hatch has been a strong advocate of this [orphan drug tax credit] initiative, which is why the mark [modified 15 November] does not repeal the orphan drug tax credit, but rather makes modifications to it".

It's still too early for your clients to take action based on these provisions, but the proceedings should continue to be monitored closely.

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