Daily Tax Update - November 4, 2009

HOUSE MANAGER'S AMENDMENT CONTAINS REPEAL OF WORLDWIDE INTEREST ALLOCATION:  House Democrats released a manager's amendment to their health care reform bill last night that includes a repeal of the worldwide allocation of interest. The bill still contains a 5.4-percent surtax on modified adjusted gross income in excess of $1 million for married taxpayers filing a joint return, and $500,000 for single filers. A vote in the House is expected Saturday.

JOINT TAX RELEASES REVENUE ESTIMATES FOR HOUSE MANAGER'S AMENDMENT: The Joint Committee on Taxation released the Estimated Revenue Effects Of The Revenue Provisions Contained In H.R. 3962, The “Affordable Health Care For America Act,” As Amended.

• The document can be accessed via: http://www.jct.gov/

TAX BILLS INTRODUCED NOVEMBER 3rd:
H.R.4012: To amend the Internal Revenue Code of 1986 to provide a 5-year recovery period for new nonresidential real property, and a 10-year recovery period for qualified leasehold improvement property, placed in service after December 31, 2009, and before January 1, 2012.
Sponsor: Rep Tiahrt, Todd [KS-4] (introduced 11/3/2009)      Cosponsors (None)

H.R.4013: To amend the Internal Revenue Code of 1986 to allow a 5-year carryback of operating losses, and for other purposes.
Sponsor: Rep Tiahrt, Todd [KS-4] (introduced 11/3/2009)      Cosponsors (None)

S.2723: A bill to amend the Internal Revenue Code of 1986 to provide a special depreciation allowance and recovery period for noncommercial aircraft property.
Sponsor: Sen Brownback, Sam [KS] (introduced 11/3/2009)      Cosponsors (1)

INTERNAL REVENUE SERVICE - CIRCULAR 230 DISCLOSURE:
As provided for in Treasury regulations, advice (if any) relating to federal taxes that is contained in this communication (including attachments) is not intended or written to be used, and cannot be used, for the purpose of (1) avoiding penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any plan or arrangement addressed herein.

STEPTOE & JOHNSON LLP - TAX PRACTICE
Steptoe & Johnson LLP has one of the largest and most diverse law firm tax practices in the country. The practice covers the entire spectrum of federal taxation, including representation of businesses before the Congress, Treasury and the national office of the IRS; transactional planning for domestic and multinational corporations; complex audit and controversy work for corporations and other business interests contesting IRS adjustments; litigation before the Tax Court, Court of Federal Claims, district courts, courts of appeals and the Supreme Court. The firm's tax practice also encompasses all aspects of employee benefits (ERISA), executive compensation, tax-exempt organizations and charitable giving. Steptoe has an extensive state and local tax practice, representing an array of business clients on complex sales and use tax, corporate income tax and property tax matters, both advising those clients and handling audits, administrative appeals, and litigation for them. Read more information on Steptoe's tax practice.

• Learn more about the members of the tax practice group.