Senate Begins Markup of Tax Reform Proposal: Today, the Senate Finance Committee began its markup of the Tax Cuts and Jobs Act. More than 350 amendments have been filed by committee Republicans and Democrats. The committee has also released a section-by-section summary. In addition to the materials prepared last week by the Joint Committee on Taxation, there is now available a distribution analysis. The analysis shows that most Americans, but not all, will see a decrease in taxes under the Senate proposal. The analysis finds that 59.7% of taxpayers will see a tax decrease of more than $100 and 9.1% will see a tax increase of more than $100 in 2019.
It is expected that a modified chairman’s mark will be released on Tuesday.
Miscellaneous Guidance: Revenue Ruling 2017-22 provides tables of covered compensation under section 401(I)(5)(E) effective Jan. 1, 2018.
Revenue Procedure 2017-59 provides guidance on obtaining consent of the Commissioner of Internal Revenue to change a method of accounting for federal income tax purposes. This revenue procedure also specifies the section 481 adjustment period for elections under section 404A that are treated as changes in method of accounting for purposes of section 481.