FIRST Act

Bill: 116-hr-6884
Sponsor: full_name: Rep. Newhouse, Dan [R-WA-4]
Introduced: 2020-05-15
Policy area: Taxation
Subjects: Business expenses

Cardiovascular and respiratory health

Emergency medical services and trauma care

Government lending and loan guarantees

Income tax deductions

Income tax exclusion

Infectious and parasitic diseases

Small business
Latest action: action_date: 2020-05-15
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2020-05-15
action_desc: Introduced in House
text: <p><b>Fixing the Income Ramifications for Small Businesses and Tax Relief Act or the FIRST Act</b></p> <p>This bill amends the Coronavirus Aid, Relief, and Economic Security Act to provide that tax deductions for ordinary business expenses and other tax incidents shall not be affected by the exclusion from gross income of amounts related to loan forgiveness received in response to COVID-19 (i.e., coronavirus disease 2019). </p>

tv_txt: I 116th CONGRESS 2d Session H. R. 6884 IN THE HOUSE OF REPRESENTATIVES May 15, 2020 Mr. Newhouse introduced the following bill; which was referred to the Committee on Ways and Means A BILL To clarify for purposes of the Internal Revenue Code of 1986 that receipt of coronavirus assistance does not affect the tax treatment of ordinary business expenses.

1. Short title This Act may be cited as the Fixing the Income Ramifications for Small Businesses and Tax Relief Act or the FIRST Act . 2. Clarification of treatment of business expenses (a) In general Subsection (i) of section 1106 of the CARES Act ( Public Law 116–136 ) is amended— (1) by striking 1986, any amount and inserting “1986— (1) any amount ; (2) by striking the period at the end and inserting , and ; and (3) by adding at the end the following new paragraph: (2) no deduction shall be denied or reduced, no tax attribute shall be reduced, and no basis increase shall be denied, by reason of the exclusion from gross income provided by paragraph (1). . (b) Effective date The amendments made by this section shall apply as if included in the enactment of section 1106 of the CARES Act ( Public Law 116–136 ).