It has long been thought that somehow matching up the costs of the business items and CTC to achieve some level of parity is probably the key to a deal. Fixing those provisions through 2025 was estimated to cost $47 billion when considered by Ways & Means as part of a larger package in June. Politico reported November 9, on the long-time standoff over business tax provisions that hinges on expanding the child tax credit (CTC), that 'Senate Democrats have been floating a short-term CTC expansion that would make the credit fully refundable at a cost of $49 billion,' citing a Senate Democratic aide.Ĭentral to a business tax package are TCJA pre-cliffs that relate to the five-year amortization for R&D expenses rather than expensing under IRC Section 174 and the IRC Section 163(j) interest deduction limitation based on EBIT rather than EBITDA, both of which took effect in 2022 and 100% expensing, which is phased down in increments after 2022. The trickle of reporting about the ingredients of a potential year-end tax package continues. What to expect in Washington (November 10)

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