Laserfiche WebLink
During the last days of the First Session of the 98th ~;ongress, the Full House <br />rejected the rule under which the Tax Reform Act of 1983 was to be considered. <br />Rejection of the rule resulted in the bill not being considered on /ts merits, but <br />the negative vote is said to be due mostly to objections to the cap. The bill <br />will probably be resurrected early next year, but some other IDB features may <br />be considered. <br /> <br />The full impact of the House's failure to consider the 1983 Tax Act is currently <br />unknown. Since Mortgage Revenue Bonds expire on December 31, 1983, no MRB's <br />can be issued after the end of the year until after new legislation is passed. More <br />questionable, however, is the fate of most other tax-exempt bonds issued next year <br />in view of the January 1, 1984 effective date of most of the bill's provisions. While <br />Congress will probably change the effective dates in the bill, there is no guarante~ <br />it will do so. ", ' <br /> <br />The Senate Finance Committee is also considering restrictions on the use of private <br />purpose IDB's as part of its deficit reduction package. This proposal, however, <br />which has as its centerpiece depreciation restrictions as opposed to a volume <br /> cap, <br />was not voted on or officially approved by the Finance Committee before the end <br />of the Session. . <br /> <br />I hope that this information will be of use to you. Congress will be going back <br />into Session on January 23, 1984, and will probably make consideration of the <br />Tax Reform Act of 1983 a priority issue. As further developments occur, I will <br />keep you informed. If you have any questions on the IDB provisions, or any <br />other issue before Cokgress, please let me know. <br /> <br /> Yours very trUly, <br /> <br /> Bill Frenzel <br /> Member of Congress <br /> <br />BF:dbr <br /> <br /> <br />