On April 10, the Obama Administration released its fiscal year 2014 budget (FY 2014 Budget). Of note, the FY 2014 Budget includes a number of tax proposals that target insurance companies or that otherwise would have a direct effect on them. Specifically, the proposals would:

- Modify the dividends-received deduction for life insurance company separate accounts. This proposal is estimated to raise $2.459 billion over 5 years and $5.101 billion over 10 years.

- Disallow a deduction for “non-taxed reinsurance premiums paid to affiliates.” This proposal is estimated to raise $2.621 billion over 5 years and $6.209 billion over 10 years.

- Modify the rules that apply to sales of life insurance contracts. This proposal is estimated to raise $257 million over 5 years and $641 million over 10 years.

- Require information reporting for “private separate accounts” established by life insurance companies. This proposal is estimated to raise $2 million over 5 years and $7 million over 10 years.

Please see full alert below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

more+
less-

Sutherland Asbill & Brennan LLP on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.
×
Loading...
×
×