TAX TAKE: Reduced Risk of Retroactive Tax Increases?
The contents of President Biden's $1.9 trillion COVID-19 relief package, combined with the Congressional reaction to it, suggests that significant tax legislation may not be considered until later in the year. This could be a very positive development from an effective date perspective, as it will be difficult for Congress to enact significant tax increases retroactive to the beginning of 2021. Newly-appointed Deputy Assistant Secretary for Tax Policy Mark Mazur recently made comments suggesting that the Administration's preference is not to pursue tax increases in the short term and, as a general matter, not to pursue retroactive tax legislation. That being said, it will still be important to monitor bill introductions, press releases and other communications from Treasury Department officials and Congressional tax-writers that, in fact, suggest potential consideration of retroactive tax increases in future tax legislative packages. #TaxTake
Upcoming Speaking Engagements and Events
Join Loren on February 10 for her TCPI Symposium panel, Global Tax Policy: Evolution, Revolution, or Chaos.
On February 11, Jorge and fellow Member George Hani will host A Conversation with Bridget Roberts, IRS Deputy National Taxpayer Advocate, featuring a discussion on the "quick refund" process.
In The News
Jorge commented on the outlook for potential tax legislation under an incoming Biden administration in The Hill: The article noted that although President Biden and Congressional Democrats have signaled plans to raise taxes on wealthy individuals and corporations, the slim Democratic margins in both the House and the Senate means enacting these tax increases will prove challenging. "Getting them to agree on a legislative proposal will not be easy," noted Jorge.
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