The U.S. House and Senate approved the final conference report on the Tax Cuts and Jobs Act on Wednesday, December 20, representing the most sweeping changes to the U.S. tax code in more than 30 years. The package lowers both individual income and corporate income taxes and moves the United States to a territorial system of business taxation.
Significant improvements were made to the pass-through provisions, Alternative Minimum Tax, and private activity bonds during the legislative process, thanks to the strong engagement efforts of AFS and its membership.
“We applaud the U.S. Congress and the Administration for taking critical steps to modernize our nation’s tax code to spur economic growth and increase competitiveness. This legislation will benefit domestic manufacturers, including the U.S. metalcasting industry,” said Doug Kurkul, CEO of the American Foundry Society (AFS). “The last comprehensive update to the U.S. tax code was in 1986 and is long overdue. Significant proposals, such as lowering the tax rates for S-Corporations, C-Corporations, and strong cost-recovery provisions, will help ensure our tax system is pro-growth to benefit American consumers, manufacturers, and the economy.”
Key provisions included in the final the Tax Cuts and Jobs Act impacting the U.S. metalcasting industry are: