U.S. House Ways and Means letter to administration | KPMG | GLOBAL
Share with your friends

Section 385 update: Ways and Means Republicans’ letter to administration

U.S. House Ways and Means letter to administration

The House Ways and Means Committee today released a letter that Republican members of the committee wrote to Treasury Secretary Jacob Lew and Office of Management and Budget (OMB) Director Shaun Donovan reiterating their concern about the administration’s plans to move forward to finalize regulations under section 385.


Related content

The Ways and Means Republican members’ letter comes after the Treasury Department on September 30, 2016, submitted final regulations to OMB for review. Read TaxNewsFlash-United States.

Excerpts from the letter appear on the release on the Ways and Means website:


“We believe that getting the rules right is of paramount importance and doing so should be the top priority. Treasury has received thousands of pages of comments on these proposed regulations from across the spectrum of businesses large and small. Those comments make clear that addressing the problems that have been identified and eliminating the potential for real economic harm will require a complete overhaul of the proposed rules. Against this backdrop, we are convinced that getting the rules right will require further engagement with stakeholders to prevent irreparable damage to business and jobs here at home … We urge you not to finalize the Section 385 regulations in haste.

*  *  *

“Any revised rules should be issued as proposed regulations only, which should be finalized only after the vetting necessary to ensure that the rules are right.”


[Emphasis added by Ways and Means.]


Read text of the letter [PDF 973 KB].

© 2018 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in 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 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us


Request for proposal