News

New Tax Reform Bill Passed and Signed

Friday, December 22, 2017


Update – House and Senate Pass Tax Reform Bill; 

President Signs into Law

Yesterday, the House and Senate passed a tax reform bill out of conference committee, after reconciling each chamber’s versions of the Tax Cuts and Jobs Act. Fortunately for non-profit hospitals and other 501(c)(3) entities, the final version of the bill that is heading to the President for signature does not remove the tax exemption for interest earned on private activity bonds, as was the case in the bill original passed by the House. This will preserve the primary source for non-profit hospitals to issue tax-exempt indebtedness. However, the bill does repeal the exemption for interest on advance refunding bonds issued after December 31, 2017, which will have a significant impact on bond refinancing opportunities.

The President signed the Tax Cuts and Jobs Act as passed by the House and Senate. We will provide further updates and analysis.

 

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