Daily Tax Update - March 10, 2010

SENATE PASSES TAX EXTENDERS BILL: Today, the Senate passed, by a vote of 62-36, a bill (The American Workers, State and Business Relief Act - H.R. 4213) to extend dozens of expired tax provisions for one year. The legislation also extends long-term unemployment benefits and health insurance subsidies for unemployed workers through December 31 and provides funds to help states pay for Medicaid and private pension funds. The Senate postponed the final vote from yesterday at the request of Republicans.

  • House Ways and Means Committee Chairman Sander Levin said last night that he may call for a formal conference on the offsets in the Senate bill, many of which have already been set aside for offsets in the health care legislation. Levin said, “I wouldn't be surprised if there was a conference.” Regarding the carried interest offset, Levin said, “I've talked to [Senate Finance Chairman] Max [Baucus], and we're going to meet. The House has passed carried interest three times; the Senate doesn't want it, and I continue to believe we need to consider it fully. But I would not hold up the bill on the basis of carried interest.”
  • The text of the bill can be accessed here

WAYS AND MEANS TO FOCUS ON JOBS CREATION: Ways and Means Committee Chairman Sander Levin said that job creation will be his top priority but added that he also wants the committee to be at the forefront on national tax policy and tax reform. Levin said, “I don't think [the Senate Finance Committee] should run the show. Charlie Rangel has struggled with this. The task ahead makes it important that I actively chair this committee. On a really collegial basis, because I've always acted that way. But you can combine strength and collegiality." Levin also said that he plans to meet this week with Senate Finance Committee Chairman Max Baucus to try to resolve differences over the estate tax. The Chairman also indicated that he hopes to mark up a bill dealing with small-business capital gains next week.

TAX BILL INTRODUCED MARCH 9TH:
S.3090: A bill to amend the Internal Revenue Code of 1986 to expand the availability of the saver's credit and to make the credit refundable.
Sponsor: Sen Gillibrand, Kirsten E. [NY] (introduced 3/9/2010)      Cosponsors (None)

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