WASHINGTON -- Senate Finance Committee Chairman William V. Roth, Jr. (R-DE) and Ranking Democratic Member Daniel Patrick Moynihan (D-NY) today introduced a bill to clarify a provision for inclusion in the Trade and Development Act of 1999 (otherwise known as the Africa/CBI trade bill). Today's bill is offered as a substitute for last fall's provision.
Chairman Roth submitted the following statement to the Record:
"Mr. President, I rise today to introduce -- along with Senator Moynihan -- a bill that will clarify a revenue provision that has been reserved for the Trade and Development Act of 1999.
"Last fall, the Senate Finance Committee reserved from the Tax Relief Extension Act of 1999 a revenue provision regarding the prevention or duplication of loss through assumption of liabilities, for inclusion in the Trade and Development Act of 1999. This revenue provision addresses a tax-avoidance transaction in which the assumption of certain liabilities or potential liabilities may permit the acceleration or duplication of a loss attributable to those liabilities. The bill that Senator Moynihan and I introduce more precisely defines the types of transactions that are excepted from this revenue provision. Our bill is offered as a substitute for last fall's provision, and we introduce it today seeking public comment."
Source: Ranking Member’s News
