Daily Tax Update - April 30, 2010

LEVIN WANTS TO BEGIN WORK TO EXTEND MIDDLE-CLASS TAX CUTS BY AUGUST RECESS: House Ways and Means Committee Chairman Sander Levin said yesterday that he is hopeful to begin work to extend middle-class tax cuts before the August Congressional recess. Levin said, “There's all kinds of talk here, but the hope is to deal with that in July. The main calculus is that we need to address these issues as soon as we can. The same is true for the estate tax—I mean, people need to be able to plan. The calculation is: when can you get the votes?”

  • Republican Ways and Means member Rep. Patrick Tiberi was also hopeful that the Committee would begin working on extending the 2001 and 2003 tax cuts as soon as possible. Tiberi said, “Think about small business owners. Outside the rhetoric of some across the aisle about small business tax credits, and the $1,000 tax credit for hiring somebody, small business owners out there are the same people by and large who are going to get impacted by the signal that we're going to allow the Bush tax rates to expire, the top rates.”

TAX BILLS INTRODUCED APRIL 29TH:
H.R.5178: To amend the Internal Revenue Code to reduce tobacco smuggling, and for other purposes.
Sponsor: Rep Doggett, Lloyd [TX-25] (introduced 4/29/2010)      Cosponsors (118)

H.R.5183: To amend the Internal Revenue Code of 1986 to extend the first-time homebuyer tax credit through December 31, 2010, and for other purposes.
Sponsor: Rep Bright, Bobby [AL-2] (introduced 4/29/2010)      Cosponsors (None)

H.R.5188: To amend the Internal Revenue Code of 1986 to extend the first-time homebuyer tax credit through December 31, 2010, and for other purposes.
Sponsor: Rep Hinchey, Maurice D. [NY-22] (introduced 4/29/2010)      Cosponsors (None)

H.R.5189: To amend the Internal Revenue Code of 1986 to require that the issuer of a tax-exempt State or local obligation obtain a certification that the interest rate with respect to such obligation is reasonable without materially increasing the risks associated with the obligation.
Sponsor: Rep Hinchey, Maurice D. [NY-22] (introduced 4/29/2010)      Cosponsors (None)

S.3282: A bill to amend the Internal Revenue Code of 1986 to extend the work opportunity tax credit for employers of certain veterans.
Sponsor: Sen Specter, Arlen [PA] (introduced 4/29/2010)      Cosponsors (None)

S.3288: A bill to amend the Internal Revenue Code to reduce tobacco smuggling, and for other purposes.
Sponsor: Sen Lautenberg, Frank R. [NJ] (introduced 4/29/2010)      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.