Daily Tax Update - June 24, 2008

SENATE INVOKES CLOTURE ON HOUSING STIMULUS BILL:  Today, the Senate invoked cloture on H.R. 3221 (The Housing and Economic Recovery Act of 2008). The bill contains a $14.5 billion tax title which would create an additional standard deduction for property taxes paid by homeowners who do not itemize their federal taxes; provide first-time home buyers with an $8,000 refundable, repayable tax credit; and increase funding for mortgage revenue bonds. The Senate could pass the bill later today.

  • The bill's offsets include: a new information reporting requirement on the use of credit or debit cards and other third-party network transactions; eliminating a provision that allows taxpayers to exclude gains on the sale of a principal residence allocated to a period of nonqualified use; and increasing penalties for failure to file tax returns.

TAX BILL INTRODUCED JUNE 23rd:
H.R.6348 : To amend the Internal Revenue Code of 1986 to exclude from gross income gain from the conversion of property by reason of eminent domain.
Sponsor: Rep Gingrey, Phil [GA-11] (introduced 6/23/2008)      Cosponsors (30)

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.