derivatives

Wyden Pursues Tax Reform for Derivatives, which is Long Overdue

Yesterday, top Senate Finance Committee Democrat Ron Wyden proposed major changes in the taxation of financial derivatives, contracts such as swaps, options, and forwards that derive their value from an underlying asset or index. The key to his proposal is a requirement that dealers annually mark-

May 19, 2016Steven M. Rosenthal

: TaxVox

ACA Tax Subsidies Face Risk; IRS Enforcement Is Overtaxed

Two appeals courts deliver opposing rulings on Affordable Care Act tax subsidies. The DC Circuit Court ruled yesterday that the tax credits can only go to residents in states that run their own health exchanges. In Richmond, VA, the 4th Circuit Court said the ACA language isn’t clear, so the tax

July 23, 2014Renu Zaretsky

Individual Taxes: TaxVox

Abuse of financial products by hedge funds

Today, I testified before the U.S. Senate Permanent Subcommittee on Investigations (the “Subcommittee”) on the abuse of structured financial products by hedge funds, in particular by the Renaissance funds. This is what I told the Subcommittee: Almost a century ago, Congress reduced the tax rate for

July 22, 2014Steven M. Rosenthal

: TaxVox

Summer Blockbuster? Congress’ Week Is Tax-Action Packed

Another big inversion deal heads to closing. Pharmaceutical giant AbbVie agreed to purchase UK drugmaker Shire , making it the largest US company so far to move its address overseas for lower taxes. The deal, now estimated to be worth about $55 billion, will likely close despite any US action to

July 21, 2014Renu Zaretsky

: TaxVox

Compromises, Delays, Derivatives and Daze

A highway bill could soon head down Pennsylvania Avenue. The House Rules Committee plans to send to the floor the Ways & Means panel’s short-term highway funding bill today. After a floor vote sometime this week, it’s seen as the likely version to land on the President’s desk. In the Senate,

July 14, 2014Renu Zaretsky

Federal Budget and Economy: TaxVox

The Democrats Never-Ending Search for Tax Loophole Closers

Senate Democrats are circulating a list of a dozen tax “loopholes” they’d like to close as part of a budget package. It is unlikely that...

November 13, 2013Howard Gleckman

Individual Taxes: TaxVox

Chairman Camp Agrees: Too Many Choices Burden our Tax System

Last week’s draft plan by House Ways & Means Committee Chair Dave Camp (R-MI) to reform the taxation of financial products includes two key changes...

January 28, 2013Steven M. Rosenthal