House Ways and Means Committee HearingMay 15, 2013
On May 15, Mr. Taylor spoke as a witness at a hearing held by the House Ways and Means Committee. The hearing focused on a discussion draft, released by the Committee on March 12, that sets out changes that might be made to the tax treatment of partnerships and S corporations, including the possibility of a single pass-through regime for any corporation or partnership that is not publicly traded.
The hearing was described in an article in Tax Notes Today entitled, "Panelists Split on Benefit of Camp's Proposed Unified Passthrough Regime," which reviewed the divided testimonies over whether the single pass-through regime would indeed be an improvement over the current system. In the article, Mr. Taylor noted, “[t]he focus ought to be on option 2 – the single pass-through regime.” Mr. Taylor continued to explain his support for the single pass-through regime because, “there really is no difference, apart from tax, between a limited liability company and a corporation. It also offers the opportunity for small businesses trapped in subchapter C to move into subchapter S.”