“We need to fix our tax code—for everybody.” That was the message from House Ways and Means Chairman Paul Ryan (R-WI) yesterday. And today, the committee is turning words into action by moving forward on bills to provide tax certainty for those too often forgotten about in tax policy: Everyday Americans and small businesses. Yes, larger businesses need certainty to grow. But families and small businesses need certainty too. They deserve a simpler, flatter, fairer tax code that helps them plan for the future and build a healthy economy. That’s why the Ways and Means Committee today is taking action on a number of bills to create a tax code more friendly to families and small businesses.
The committee plans to mark up the following bills later today:
H.R. 636, America’s Small Business Tax Relief Act of 2015, sponsored by Rep. Pat Tiberi (R-OH), creates stability for small businesses leading to their growth and expansion by making permanent increased small business expensing in the Section 179 of the tax code.
H.R. 640, Private Foundation Excise Tax Simplification Act of 2015, sponsored by Rep. Paulsen (R-MN), simplifies the current 1 percent and 2 percent excise tax on private foundation income with a single 1 percent rate.
H.R. 637, Permanent IRA Charitable Contribution Act of 2015, sponsored by Rep. Schock (R-IL), makes permanent the rule allowing certain tax-free distributions from IRAs for charitable purposes.
H.R. 641, Conservation Easement Incentive Act of 2015, sponsored by Rep. Kelly (R-PA), permanently extends the higher deduction limits and potential 15-year carry forward of conservation easement gifts.
H.R. 644, Fighting Hunger Incentive Act of 2015, sponsored by Rep. Tom Reed (R-NY), incentivizes businesses to contribute excess inventory to local food banks and pantries by permanently extending a food-inventory donation provision in the tax code.
H.R. 629, Permanent S Corporation Built-in Gains Recognition Period Act of 2015, sponsored Rep. Reichert (R-WA), makes permanent the reduced recognition period for built-in gains of S corporations.
H.R. 630, Permanent S Corporation Charitable Contributions Act of 2015, sponsored by Rep. Reichert (R-WA), makes permanent certain rules regarding basis adjustments to stock of S corporations making charitable contributions of property.
All of these bills will remove uncertainty by making several provisions in the tax code permanent. It’s time that we start to build a tax code that works for everybody—especially families and small businesses.