The HTC in Washington - novoco.com · The HTC in Washington. MODERATOR. PANELISTS. Michael...
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Transcript of The HTC in Washington - novoco.com · The HTC in Washington. MODERATOR. PANELISTS. Michael...
The HTC in WashingtonMODERATOR PANELISTS
Michael NovogradacNovogradac & Company LLP
Merrill HoopengardnerNTCIC
Patrick RobertsonFTI Consulting
@novogradac
Agenda
What’s in Store for the Coming Months?
Historically Major Tax Legislation: First Year in Office
Why is Tax Reform So Hard?
Historic Tax Credit Improvement Act
Advocacy
National Park Service Update
Today
Sept. 30End of FY17Deadline to fund gov’t in FY18National flood insurance program (NFIP) expires
Sept. 29Debt ceiling was estimated to be hit
Dec. 8CR expiresTemporary extension of NFIP expiresNew debt ceiling suspension expiration date
Treasury will hit new “X” date for debt ceiling
Late Sept. “Big 6” supposed to put out tax reform announcement
Sept. 30FY17 budget resolution expires
Sept. 8Pres. Trump signed debt ceiling deal
*Mar. 16Last debt limit suspension expired, Treasury used extraordinary measures to avoid hitting debt ceiling
SEPT OCT NOV DEC JAN FEB MAR APR MAY
2017 2018
JUNE
Treasury to use extraordinary measures
Dec. 14/15Currently scheduled to adjourn for the holidays, may postpone
OCT NOV DEC
House budget resolution
Senate Finance
Committee considers tax reform
Senate Budget Committee passes budget resolution, full Senate passes
budget resolution
Full house takes up tax reform
SENATE IN SESSION
HOUSE IN SESSION
An Optimistic Schedule
Ways and Means markup of Tax
Reform
Full Senate
considers tax
reform
Recent Presidents Who Had Major Tax Bills the Year of their Inauguration
OBAMABUSHCLINTONBUSHREAGANCARTER TRUMP
?
Why is Tax Reform So Hard?
BUDGET RECONCILIATION
50 vs. 60
HOUSE FREEDOM CAUCUS
Tax Reform in Congress
Big 6 Statement Released 9/27
President Trump Speech on Tax
Reform
“The framework explicitly preserves business credits in two areas where tax incentives have proven to be effective in promoting policy goals important in the American economy: research and development (R&D) and low-income housing. While the framework envisions repeal of other business credits, the committees may decide to retain some other business credits to the extent budgetary limitations allow.”
Big 6 Tax Reform Framework
20%Top corporate
rateCorporate AMT
eliminated
25%Pass-through
rate
5Year asset expensing
(likely not applied to buildings)
Business
Big 6 Tax Reform Framework
• LIHTC and R&D explicitly retained• Committees encouraged to examine 40% corporate
dividend payment deduction to reduce double taxation of profits
Business
Big 6 Tax Reform Framework
• Individual rates of 12%, 25%, and 35%, with flexibility to add a fourth bracket for higher incomes
• Doubled standard deduction
• Larger child tax credit and $500 credit for non-child dependents
• Individual AMT and estate tax repealed
Individual
Big 6 Tax Reform Framework
• Mortgage interest and charitable giving deductions explicitly retained
• Municipal bond income exemption retained, but unclear on private activity bonds
• State & local tax deduction and most other itemized deductions repealed
• “Committees are encouraged to retain tax incentives for higher education, retirement, and work”
Individual
Big 6 Tax Reform Framework
• Territorial int’l tax system with repatriation tax rates for accumulated liquid and illiquid assets
• Base erosion rules to protect the tax base
International
Historic Tax Credit Improvement ActH.R. 1158
KELLY BLUMENAUER
73 COSPONSORS38D, 35R
SECTION 1 SECTION 2 SECTION 3
SECTION 4 SECTION 5 SECTION 6
Short Title “Historic Tax Credit Improvement Act of 2017”
Increase in the Rehabilitation Credit for Certain Small Projects
Allowance for the Transfer of Credits for Certain Small Projects
Increasing the Type of Buildings Eligible for Rehabilitation
Reducing Basis Adjustment
Modifications Regarding Certain Tax-Exempt Property
Historic Tax Credit Improvement ActS.425
CARDIN COLLINS
13 COSPONSORS9D, 4R
Advocacy
Advocacy to Promote and Protect HTCs
historiccredit.com
Advocacy to Promote and Protect HTCs
www.historictaxcredits.com
Advocacy to Promote and Protect HTCs
Over1,400signatures
How to Contact Congress
Jill [email protected] Historic
1 Drop your business card into the fishbowl at the Historic Tax Credit Coalition table.
How to Contact Congress
2You’ll receive an email from the HTCC with the contact information of who you should contact and a form letter with blanks you can fill in.
How to Contact Congress
4 Return to the HTCC booth to pick up your badge sticker
Jill SmithABC Historic
National Park Service Update
National Park ServiceFunctionally Related Building Guidance
• Issued as an appendix to final report on its recommendations and action plan for the implementation of a program review
• Guidance includes 10 examples of when and how buildings can be considered separate projects
Questions?MODERATOR PANELISTS
Michael NovogradacNovogradac & Company LLP
Merrill HoopengardnerNTCIC
Patrick RobertsonFTI Consulting
@novogradac
![Introduction to NTCIC [add your own title]. NTCIC: A brief history First HPS Project – West Village, Durham, NC. (Before) West Village (After) NTCIC is.](https://static.fdocuments.in/doc/165x107/56649dab5503460f94a9a362/introduction-to-ntcic-add-your-own-title-ntcic-a-brief-history-first-hps.jpg)
