WASHINGTON—The House has passed the Retirement, Savings, and Other Tax Relief Act (H.R. 88). The Senate is not expected to take up the bill.
H.R. 88 was revamped by House Ways and Means Committee Chairman Kevin Brady (R-TX) to include a provision that repeals the excise tax (Unrelated Business Income Tax—UBIT) imposed for fringe benefits, such as transportation and parking, but it does not alter the tax on executive compensation.
NAFCU noted that it had asked that a fix be provided to "grandfather" those employment contracts entered into on or before Nov. 2, 2017, for tax-exempt employers. The TCJA contained a provision allowing for-profits to grandfather in binding contracts in effect before that date, but did not include the same clause for not-for-profit tax-exempt organizations.
The House also passed the Taxpayer First Act of 2018 (H.R. 7227), which contains provisions that would impact credit unions, CUNA noted.