Omnibus Offers Welcome Reprieves for Industry

(Congress, Budget) Permanent link

The 2,009-page 2016 spending deal has a lot to offer; first it keeps the government running which is a good thing for everyone inside and outside the beltway. But the good news is it also offers three much needed reprieves for the industry.

Cadillac Tax: Employers will get a two year reprieve from this tax which was slated to become effective in 2018. The 40 percent excise tax on plans exceeding established individual and family plans will now become effective in 2020. Read more on the effect of this tax.

Conservation Easement: Under current law, a property owner may deduct the value of a conservation easement (a partial interest) that is donated to a qualified charitable organization exclusively for conservation purposes. In recent years, this tax incentive has been coupled with more than 50 tax provisions and annually renewed. The good news is that the omnibus makes this tax incentive permanent in the tax code and golf was not excluded from this act. (Technically, this was passed as a separate amendment alongside the omnibus bill but wrapped up in the whole deal.)

H-B Visas: Clubs who utilize the H-2B Visa worker program to provide seasonal staff have a reprieve from substantial changes to the program that were announced and immediately became effective in April 2015. The amendments to the program were included in the omnibus, and mirror recent measures in the House and Senate to modify the program including the reinstatement of the returning worker exemption and the admission of private wage surveys. The term “seasonal” was clearly delineated as ten months, a month longer than the previous definition. Read more...

Posted by Karen Woodie at 12/22/2015 10:30:45 AM |