IPC Optimistic After U.S. Senate Passes Tax Reform Bill


Reading time ( words)

IPC – Association Connecting Electronics Industries is optimistic about the prospects for U.S. tax reform following the U.S. Senate’s approval of a sweeping bill this weekend.

The Senate bill lowers the corporate tax rate to 20% effective on January 1, 2019; allows full and immediate expensing of capital investments placed in service between September 27, 2017 and December 31, 2022; and increases the Section 179 small business expensing cap to $1 million with a phase-out starting at $2.5 million. The approved bill also allows many small businesses that are organized as “pass through” companies to claim a 23% deduction for the non-wage portion of pass-through income.

There are significant differences between the tax reform bills passed by the Senate this past weekend and by the U.S. House of Representatives in November, creating a need for congressional leaders to iron out those differences before a final vote can occur. Several political obstacles still exist, but most observers believe the Congress and President Trump will overcome them by the end of 2017 or early 2018.

“IPC believes that U.S. tax reform is critical to long-term growth and innovation in the global electronics industry,” said John Mitchell, IPC president and CEO. “Working with our members, we have advocated for a tax reform package that cuts the corporate tax rate while keeping robust incentives for innovation. The current efforts in Congress are moving in the that direction. In the days ahead, we will continue to work with our friends on Capitol Hill to advocate for our members’ interests in this legislation.”

Share

Print


Suggested Items

An Update on Walt Custer’s EIPC Business Outlook Webinar

10/12/2020 | Pete Starkey, I-Connect007
“We’re not out of trouble yet, but it’s a whole lot better than a couple of months ago.” Walt Custer’s business outlook update, with emphasis on the European electronics industry, attracted a capacity audience to EIPC’s webinar on October 2. Pete Starkey details how it wasn’t all bad news.

Day-to-Day: ZTE and the Potential Impending Trade War Saga

06/14/2018 | Gene Weiner, Weiner International Inc.
Nanya Technology, Taiwan's biggest DRAM chipmaker, will apply for a permit to provide chips to ZTE. The company said it has been notified about restrictions on shipments to ZTE, and that the ban would have limited effect on its operation. The company said on May 9 that it is preparing to apply for a permit to continue shipping chips to ZTE Corp. as export restrictions took a new turn due to a US-China trade spat.

Punching Out! Mid-2017 Report on the State of the N.A. PCB M&A Market

07/26/2017 | Tom Kastner
One of the most popular questions we receive concerns the market for M&A. Here is our take on the current market for PCB shops in North America. In general, the PCB market in North America is not growing, which means that to grow, shops either must take market share from others, or grow through acquisitions.



Copyright © 2021 I-Connect007. All rights reserved.