Later this week, the Senate is expected to begin consideration of the Tax Cuts and Jobs Act, which the Senate Finance Committee approved on November 16. The House of Representatives passed its own version of the tax legislation (H.R. 1) on November 16.
To assist in understanding how the House and Senate versions may affect your personal or business tax situation, we have prepared the following analysis, which compares the key proposals contained in the House and Senate versions. The analysis covers five tax policy areas: Individual, Business, International, Employer-Employee related, and Compensation and Exempt Organizations. Also included is a brief description of present law and some observations and key differences.
We hope you find this analysis helpful. As the Senate begins debate on the bill, amendments will be in order – and additional changes are expected. Moreover, assuming the Senate garners the necessary votes to pass its version, any differences between the House-passed and a Senate-passed version will have to be reconciled – leading to further changes. In other words, the proposals remain very fluid, particularly as they relate to effective dates and possible transition relief.