Here are some tax stories on my radar today:
The Affordable Care Act: Leonard E. Burman examines an interesting quirk of the Affordable Care Act (ACA) over at Tax Vox — apparently the “additional Medicare contribution” tax on the investments of high-income households doesn’t go into the Medicare trust fund after all.
The reason? A provision that would have directed the Medicare contribution to support the trust fund wouldn’t have survived reconciliation. (Tax Vox)
See also: “Republicans are flirting with class warfare in their healthcare bill,” Henry Aaron, The Hill.
IRS and student financial aid: Students filling out FAFSA applications may run into a snag — the IRS’ data retrieval tool went dark and may be unavailable for weeks due to security concerns.
Editorial: The New York Post is calling for the firing of IRS Commissioner John Koskine for his alleged failure to properly investigate the slow-walking of tax exemptions for 75 conservative groups.
Corporate tax reform: The Washington Post‘s Editorial Board is advocating for a corporate-tax-reform plan by Alan Viard of the American Enterprise Institute and Eric Toder of the Urban Institute.
The Viard-Toder plan would lower the corporate tax rate to 15% and then tax shareholders at the same rate as their ordinary income. The goal of the plan is to shift a the corporate tax burden on individuals instead of companies who can park their profits abroad.
Finally: “Tax reform could hurt junk-rated companies and their private-equity suitors,” Ciara Linnane, Market Watch.
Image: Jenna Beekhuis, an office tower in San Francisco.