This morning, the U.S. House of Representatives passed H.R. 674, legislation to repeal the 3% withholding tax mandate, by a vote of 405 to 16.
According to the rule adopted by the House, H.R. 674 has been combined with H.R. 2576, which was also approved by the House today with bipartisan support, into one measure. H.R. 2576, the offset to pay for the repeal of the 3% withholding tax mandate, adjusts the income qualifications for purposes of determining eligibility for certain healthcare-related programs, such as Medicaid.
The bill now moves to the Senate. We will keep you apprised of our efforts to urge the Senate to pass the House approved legislation to repeal the 3% tax withholding law.
Please feel free to contact me if you have any questions.