The path to enacting tax reform legislation this year just got much clearer with the House passage of a budget resolution earlier today.
With the budget passed, House tax-writers are expected to release a tax bill Nov. 1 and start marking up legislation the week of Nov. 6. Ways and Means Committee Chairman Kevin Brady (R-TX) has said his goal is to get a bill through the House by Thanksgiving.
While few details of the tax bill have been shared as yet, Ways and Means Republicans have been meeting privately for weeks to find ways to fund trillions of dollars of tax cuts. Potential revenue raisers being discussed include eliminating the state and local tax deduction and reducing the amount that people can put into their 401(k) retirement plans on a pre-tax basis.
GOP tax-writers say no decisions about offsets have been made, but have made clear that everything is on the table.
“I’m open to look at anything,” said Senate Finance Committee Chairman Orrin Hatch (R-UT). “I don’t have a problem looking at everything.”
“In about a week, you will be able to see the reforms proposed and where we are heading with it,” Brady said.
In advance of seeing the bill, ASAE has drafted a sign-on letter that will be sent to the tax-writing committees next Monday that urges them to protect the current tax treatment of associations’ revenue-generating activities. As recently as 2014, discussion drafts have circulated that would tax associations’ royalty income and certain qualified sponsorship payments. ASAE is concerned that these proposals could be in the latest tax bill as well.