The House passed FY 2020 funding legislation on 17 December 2019 that includes a significant year-end tax package that was agreed to by Congressional leaders and Trump administration officials. The tax package agreement (the Agreement) includes extensions to more than 30 expired or expiring tax provisions, modifications to certain 2017 tax reform act provisions, retirement savings incentives, disaster relief tax provisions, and repeal of three Affordable Care Act (ACA) tax provisions. The Joint Committee on Taxation (JCT) staff estimates that the Agreement will reduce federal revenues by $426 billion over 10 years.
Congressional leaders and the Trump Administration, however, were unable to reach an agreement on technical corrections to the 2017 tax reform act, expansion of refundable tax credits, and new ‘green energy’ tax provisions.
