U.S. House Republicans Introduce Bill to Continue Bush Tax Cuts

Estate Tax

The proposal provides for a continuation of the current income tax laws for one more year, preventing the scheduled expiration of the Bush tax cuts on December 31, 2012.  This would be most meaningful for those individuals with income over $200,000 or couples over $250,000, as Democrats are calling for tax rates to automatically increase for these taxpayers.

The Bill also includes a one year continuation of the current $5.12 million estate tax exemption (with inflation adjustments), 35% tax rate and spousal portability of the exemption.
Two House Bills, which have already passed, provide for repeal of the new health care law and the dreaded $3.8 investment surtax that is also scheduled to hit in 2013.
However, with a Democrat controlled Senate, don’t look for these Bills to become law anytime soon.  Most likely, nothing will happen before the election.
See this article in Accounting Today for more on the Bill.
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