WASHINGTON (May 16, 2003)—Late yesterday, the Senate passed a $350 billion tax cut package by a 51-49 vote. With three Democrats voting in favor and three Republicans voting against it, the Senate approved a tax cut bill that ultimately included a provision to eliminate dividend taxes over the next three years.
The House had earlier passed its $550 billion tax cut package by a vote of 222-203 on May 9. A conference committee will soon be named to work out the differences between the House and Senate versions.
“NAMIC is pleased that both chambers have now passed a comprehensive tax cut package,” said Monte Ward, NAMIC’s federal affairs vice president. “While there are certain differences between the two bills that need to worked out, we are pleased that the process continues and hope for swift passage by Congress.”
Included in the Senate bill but absent from the House version are provisions to eliminate dividend taxes for the next three years, change the proration rules for property/casualty companies with life insurance business, and modify the requirements for 501(c)(15) exemption companies. Additionally, the House bill (but not the Senate version) proposes an extension of the five-year period carryback of net operating losses that is otherwise set to expire this year.
“We look forward to continuing to work with Members of Congress and staff during the conference phase of this process with regard to those issues affecting NAMIC membership, said Ward.
Posted: Friday, May 16, 2003 12:00:00 AM. Modified: Wednesday, May 12, 2004 1:59:08 PM.
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