On January 1, 2013, Congress passed the American Taxpayer Relief Act of 2012, permanently extending the tax cuts under the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) (P.L. 107-16 ) and the Jobs Growth and Tax Relief Reconciliation Act of 2003 (JGTRRA) (P.L. 108-27 ), as originally extended by the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010 (P.L. 111-312 ), more commonly known as the Bush-era tax cuts. After a weekend of furious negotiations, the Senate passed the bill in the early hours of New Year’s Day by an 89-to-8 vote, and the House followed late in the evening, passing the bill by a 257-to-167 vote. The majority of the tax cuts were passed in the same form as they existed since passage in 2001 or 2003, with the exception of tax rate increases on the income, capital gains and dividends of individuals making more than $400,000 and families earning more than $450,000 and a small increase in the maximum estate tax rate, now at 40 percent.
The legislation also includes extensions of several other provisions that expired at the end of 2011 or 2012, including many that were not subject to the original sunset provision contained in EGTRRA and JGTRRA , and also included a permanent “patch” for the AMT.
Since 1913, CCH has provided tax professionals with the most comprehensive, ongoing, practical and timely analysis of the federal tax law. In the spirit of this tradition, CCH is providing you with a complete analysis of the American Taxpayer Relief Act of 2012.
CCH’s Award-Winning Briefing Now Available
CCH’s Tax Briefing covers the entirety of the American Taxpayer Relief Act of 2012, including a description of how we got where we are today, in-depth analysis of the provisions, helpful insights on the operation of the new law, and thoughts about where we may go from here. The Tax Briefing is located at http://tax.cchgroup.com/downloads/files/pdfs/legislation/ATPR.pdf.
CCH’s Explanation and Analysis Now Available
CCH’s American Taxpayer Relief Act of 2012: Law, Explanation & Analysis, covering the provisions contained within the law passed by Congress in the late hours of January 1, 2013, is now available to CCH subscribers. Loaded with practical guidance, examples, planning strategies and opportunities, this exclusive, comprehensive resource provides detailed analysis of these tax law changes and what they mean to tax practitioners and their clients.
Client Letter Now Available
A customizable, sample client letter that can be used to inform clients of the new law and what is contained therein is also available. To access this client letter, click on the link https://tax.cchgroup.com/SmartDocs/DocDisplay.aspx?docCode=A100&brand=&title=CCH+Client+Letter+Toolkit .