On June 9, 2010, the Wall Street Journal published House Readies Bill to Zero Out Capital-Gains Taxes on Small Firms, by Martin Vaughan.
Vaughan reports that the House might be voting on a bill that would fund non-estate tax reforms through restrictions on grantor retained annuity trusts:
A bill to eliminate capital-gains taxes on many investments in small businesses could come to the House floor as early as Thursday.
The bill builds off of proposals from President Barack Obama aimed at giving small businesses more access to capital so they can hire workers and invest. It also would establish a $30 billion lending facility managed by the Treasury Department. . . .
That cost will be offset so the bill will not worsen the deficit. The bill will raise money through an Obama proposal to curb the use of grantor-retained annuity trusts by the wealthy to avoid estate taxes. It would also shut down the use of a cellulosic biofuels tax credit by the paper industry.
Vaughan does not provide the name or the number of the bill. I will post again very shortly on the likely bill.
(Special thanks to Michael Hepner, a benefits professional, for bringing this article to my attention.)