WASHINGTON - America's Community Bankers on Wednesday unveiled a comprehensive list of tax reforms it wants the Treasury Department to push and Congress to adopt.
Topping the 32-page list is legislation to liberalize S corporation qualification requirements so more community banks would be eligible. Such companies pay no corporate taxes, passing profits directly to shareholders, whose dividends are taxed individually.
ACB president Diane Casey said she is optimistic that two key S corporation reforms - one to change the treatment of directors' shares, and one to define passive income - will be enacted this year.
The group also is recommending a higher contribution limit for individual retirement accounts at small community banks; streamlining tax information reporting requirements; and ways to resolve mortgage-related tax issues.