Emergency Tax Relief Bill Passed By House | AccountingWEB

Emergency Tax Relief Bill Passed By House

Focusing on the immediate needs of the nation's distraught citizens, the House of Representatives overwhelmingly passed a bill that would reduce taxes on estates of Tuesday's victims and relieve their families of federal income tax for the year.

In addition, any amounts received by the families of victims from the airlines and from the Federal Emergency Management Agency would be exempt from federal income tax.

The Victims of Terrorism Relief Act, House bill 2884, passed with a 418-0 vote and it is assumed that the bill will sail through the Senate as well.

House Ways and Means Committee Chairman Bill Thomas summed up the legislation: "It may not seem to be meaningful now, but I can tell you, a few months from now, when they are sitting down doing those very difficult accounting things, to realize their tax obligations for this year have been forgiven will be a significant gesture."

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