Path for Charitable Reforms and Incentives Still Unclear
Ever since a package of tax cut extenders were left out of a budget reconciliation bill in May, charitable groups and their lobbyists have been keeping close tabs on pension reform legislation. Such legislation, Congressional leaders told us, might carry the extenders package, which in turn might include a number of charitable giving reforms and incentives, namely a package of reforms supported by Senate Finance Committee Chairman Chuck Grassley. While negotiators on pension reform have reported some progress in the past few weeks, the chance of charitable provisions being included in the bill particularly the incentives is dwindling as we rapidly head towards August recess.
In recent weeks, Chairman Grassley has acknowledged that charitable issues are a sticking point in pension reform talks and, as such, has begun looking for alternative legislative vehicles for his package. For example, last month when a telephone excise tax bill came before his committee, Chairman Grassley was successful in attaching a number of his reforms. Next week, another tax bill - one dealing with energy tax credits will move through Senate Finance, and it's again likely Chairman Grassley will attempt to attach charitable reforms in order to off-set the overall cost of the bill. Congressional staff also indicate that a third tax bill will move through the Committee in late July or early September and that too could present Chairman Grassley with an opportunity to move his reforms.
Complicating matters further, charitable reforms - and, yes, even the incentives - are also prime candidates for inclusion in either a pre-election omnibus tax cut bill or a post-election omnibus appropriations bill. This would depend on the progress of the pension reform bill and certainly wouldn't be decided until September at the earliest.
And so it goes...
In recent weeks, Chairman Grassley has acknowledged that charitable issues are a sticking point in pension reform talks and, as such, has begun looking for alternative legislative vehicles for his package. For example, last month when a telephone excise tax bill came before his committee, Chairman Grassley was successful in attaching a number of his reforms. Next week, another tax bill - one dealing with energy tax credits will move through Senate Finance, and it's again likely Chairman Grassley will attempt to attach charitable reforms in order to off-set the overall cost of the bill. Congressional staff also indicate that a third tax bill will move through the Committee in late July or early September and that too could present Chairman Grassley with an opportunity to move his reforms.
Complicating matters further, charitable reforms - and, yes, even the incentives - are also prime candidates for inclusion in either a pre-election omnibus tax cut bill or a post-election omnibus appropriations bill. This would depend on the progress of the pension reform bill and certainly wouldn't be decided until September at the earliest.
And so it goes...
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