The U.S. Congress has passed a final $1.5 trillion tax package that has been signed into law by President Trump. On Dec. 6, the Water Environment Federation (WEF; Alexandria, Va.) joined other water sector organizations in sending a letter to congressional leaders about tax reform legislation.
In the letter, the organizations expressed concerns about the treatment of private-activity bonds and advance-refunding bonds in the U.S. House and U.S. Senate versions of the Tax Cuts and Jobs Act. These financing tools help local communities fund water infrastructure projects.
In the final legislation, lawmakers maintained the entire current category of private-activity bonds but upheld a repeal of the ability to advance-refund municipal bonds. WEF was relieved that the new law maintains tax-exempt status for municipal-issued bonds for water and infrastructure projects.
January 21, 2018
Laws & Regs