09/15/21

Committee votes have begun in the U.S. House on the Biden Administration’s $3.5 trillion spending plan, with several provisions impacting banks on the docket. 

The OBL is actively opposing language that would increase the corporate tax rate to 26.5% for banks and other businesses with over $5 million per year in revenue, as well as a provision that would limit the 20% 199A deduction for Subchapter S banks to $500,000. 

The current draft of the bill does not include the Biden Administration's onerous tax gap proposal that would mandate financial institutions to report information to the IRS on all customers with gross inflows and outflows above $600. An OBL grassroots campaign saw more than 300 message sent to legislators urging them not so support the proposal, and more than 100 Republican legislators signed on to a letter opposing it. Reps Bob Gibbs (R-Lakeville), Jim Jordan (R-Urbana), Anthony Gonzalez (R-Rocky River), Warren Davidson (R-Troy), Brad Wenstrup (R-Cincinnati), Bob Latta (R-Bowling Green) and Troy Balderson (R-Zanesville) all signed the letter at the OBL's urging. 

"We need to remain vigilant to ensure this terrible proposal is not added to the bill as it moves through Congress," warned OBL SVP of External Relations Evan Kleymeyer. "We urge any banks that have not yet encouraged their employees to send a grassroots message through the OBL's online platform opposing the plan to do so today."