The U.S. House Approves Massive Tax Bill: No Provisions Harmful to Government DC Plans Added
by Susan J. White, NAGDCA Legislative Counsel and Paul V. Beddoe, NAGDCA Director of Government Affairs
The U.S. House of Representatives voted 227 to 205 to approve H.R. 1, the Tax Cuts and Jobs Act on November 16.
As we reported November 3, the bill does not change the pre-tax contributions to defined contribution retirement plans–so-called Rothification–or other potential provisions which NAGDCA had argued were the most harmful to government defined contribution plans and participants. Language allowing in-service distributions from 457(b) plans at age 59 ½ was included.
The Senate Finance Committee is continuing its consideration of its version of the bill, and aims to report it to the full Senate for consideration after the Thanksgiving holiday.
We will continue to work with Congress and to keep you updated. NAGDCA encourages its members to write to their Senators and Representatives to convey our concerns.
To download a template letter to members of Congress, click here.