Jorge Castro Quoted on Latest Coronavirus Relief Package Negotiations in InvestmentNews
"Restoring Tax Break for Advice Fees Faces Challenge in Pandemic Relief Negotiations"
Jorge Castro, a former Congressional tax counsel and Counselor to the IRS Commissioner, was quoted regarding the possibility of the next coronavirus relief bill restoring and expanding the tax break for advice fees. The Tax Cuts and Jobs Act of 2017 eliminated the tax break for advice fees exceeding two percent of a taxpayer's adjusted gross income. Financial advisor trade groups are working to have the advice-fee tax break included in the next relief bill. However, according to Castro, the next pandemic relief package will seek solutions that will quickly generate cash for individuals and businesses. "I think Congress is setting some pretty strict parameters for what tax provisions will be considered," said Castro. He stated the advice-fee tax break might fare better later this year or early next year when Congress begins work on reviving specific sectors of the economy. "That's more of a long-term approach. Right now, it's more of a short-term approach."