Update: Pension Smoothing Survives After All
The Senate capitulated to the House on a bill to replenish the dwindling federal Highway Trust Fund by a vote of 81-13 on the evening of July 31. The final version of the bill that will now go to President Obama’s desk will include the MAP-21 pension smoothing extension initially rejected by the Senate on July 29. The “gimmick,” as some on both sides have derided it
, is designed to generate tax revenue by reducing companies’ defined benefit contributions and thus their related tax deductions.
Look for a thorough analysis of what this will mean for you in an ASPPA asap, to be released in Thursday’s ASPPA Connect e-newsletter.
Ray Harmon, Esq. is ASPPA Government Affairs Counsel.