Daily Tax Update - July 25, 2007

FINANCE COMMITTEE SCHEDULES SECOND HEARING ON CARRIED INTEREST: On July 31, the Senate Finance Committee will hold a follow-up hearing on carried interest.  The witness list has not been released at this time.

WAYS AND MEANS TO MARK-UP STATE CHILDREN’S HEALTH INSURANCE PROGRAM BILL TOMORROW:  On July 26, the House Ways and Means Committee will consider a bill to reauthorize the State Children's Health Insurance Program.  The bill is partially funded by a 45 cent per pack increase in the federal excise tax on tobacco.  The Senate Finance Committee recently approved a $35 billion SCHIP reauthorization bill that would be paid for by a 61 cents per pack increase in the federal cigarette tax.

TAX BILLS INTRODUCED JULY 24th:
H.R. 3160: To amend the Internal Revenue Code of 1986 to prevent corporations from exploiting tax treaties to evade taxation of United States income.
Sponsor: Rep. Doggett, Lloyd [TX-25] (introduced 7/24/2007)      Cosponsors (60)

H.R. 3164: To amend the Internal Revenue Code of 1986 to provide for the treatment of Indian tribal governments as State governments for purposes of issuing tax-exempt governmental bonds, and for other purposes.
Sponsor: Rep. Becerra, Xavier [CA-31] (introduced 7/24/2007)      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.