SIFMA and other industry groups are backing a resolution by the U.S. Conference of Mayors opposing plans by Congress and President Barack Obama that would limit or eliminate tax-exempt municipal bonds. Michael Decker, co-head of SIFMA's muni division, said muni bonds are a "vital component of financing infrastructure" and efforts to curtail or eliminate the tax-exemption should be opposed.
Daniel Mayo, Jeff Millen and Rowan Liu of KPMG explain how pension funds and other institutional investors with tax-exempt status could be negatively affected by proposed changes in the way financial products are taxed in the U.S. "Pension funds should be aware of the indirect impact any reform on financial products taxation may have on the market and, in turn, fund performance," Mayo, Millen and Liu write.
Corruption and bribery are perceived to be on the rise in many countries, and regulators have increased enforcement of anti-corruption laws as more companies of all sizes do business globally, research suggests. To safeguard against corruption by employees or third parties, a white-collar-crime litigator recommends following three steps.
Municipal bond issuers are exploring the idea of a "Hurricane Sandy Recovery Bond," which would permit municipalities and states to use tax-exempt financing to rebuild after last month's storm. Many hope a recovery-bond approach will show Congress that municipal bonds need to retain their tax-free status. Learn what you can do and what the industry has done to help with storm relief.
The end of 2012 could mean the end of the current low-income and capital-gains tax rates and the reduction of the $5 million estate and gift tax exemption to $1 million, among many other scheduled tax changes. Now is the time for clients to be planning for 2013. Here's a handy checklist of tax issues clients should be thinking about now.