House Bill Includes Repeal of Tax on Nonprofit Fringe Benefits
The amendment would kill a UBIT provision in TCJA
House Ways and Means Committee Chairman Kevin Brady (R-TX) on Wednesday offered a “manager’s amendment” to his year-end tax package that includes a full repeal of unrelated business income tax (UBIT) on qualified transportation and parking fringe benefits provided by tax-exempt organizations.
Included in last year’s Tax Cuts and Jobs Act, the provision forces tax-exempt groups to pay tax on transportation and parking benefits provided to employees. ASAE and the UBIT Coalition, including OSAE, have been seeking repeal or delay of this tax for almost a year. Fringe benefits tax repeal is one of several technical fixes included in Brady’s year-end tax bill.
“The policy proposals in this package have support of Republicans and Democrats in both chambers,” Brady said in a statement. “I look forward to swift action in the House to send these measures to the Senate.”
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