Tax Reform Gains Momentum in Washington after State of the Union

In last night’s state of the union speech, President Barak Obama called for a lower corporate tax rate and simpler taxes for individuals.  Among the specific tax reform items mentioned in the president’s speech were:

• – Repeal of the new expanded Form 1099 reporting requirements
• – Repeal of the recently passed tax cut extensions
• – Making tuition tax credits permanent
• – Tax breaks for clean energy technology
• – Lowering the corporate tax rate from the current 35% rate

Additionally, republican leaders in Congress have indicated that they want to overhaul the tax code for corporations and individuals at the same time.  Sen. Orrin Hatch, the chairman of the Ways and Means subcommittee called for comprehensive tax reform, stating:

“We must cast a wide net and examine the entirety of the tax code, which is overly burdensome and complex not only to corporations, but small businesses and families as well,”

Further information about recent developments in the the growing movement for tax reform can be found here:

http://thehill.com/blogs/on-the-money/domestic-taxes/140273-gop-push-for-comprehensive-tax-reform

http://online.wsj.com/article/SB10001424052748704013604576104741174061606.html?mod=dist_smartbrief

http://www.accountingtoday.com/news/Obama-Calls-for-Tax-Reform-57039-1.html