Legislative update: Senate Appropriations Committee releases text of omnibus appropriations bill

Includes limited tax provisions

Includes limited tax provisions

Article Posted date 20 December 2022

Senate Appropriations Committee Chairman Patrick Leahy (D-VT) today released legislative text of an omnibus appropriations bill, a $1.7 trillion measure to fund the government through the end of the 2023 fiscal year.

Division T of the bill includes proposed legislation (“Setting Every Community Up for Retirement Enhancement (SECURE) 2.0 Act of 2022”) intended to improve the retirement system and bolster retirement savings that is the product of four bipartisan bills originating in the tax and labor committees of both the Senate and the House of Representatives.  The proposals include tax provisions aimed at expanding and increasing retirement savings.

In addition, section 605 of Division T includes a provision limiting the tax deduction for charitable contributions of conservation easements in certain situations.

KPMG observation

The omnibus appropriations bill does not include measures to extend various expired and expiring tax preference provisions or to suspend scheduled tax changes provided in the legislation commonly called the “Tax Cuts and Jobs Act,” such as the provision requiring amortization of research and experimentation costs under section 174 for tax years beginning after 2021.

What’s next?

The bill will be considered by the full Senate if it meets the 60-vote threshold required to proceed, and, if passed by the Senate, sent to the House of Representatives for its consideration. It is not clear whether the bill will be open for amendment prior to its passage.

Documents

Download pdf (318.9 KB)

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.