A big under-discussed issue in tax bills: Most provisions go into effect 1/1/18. This is insane. Final bill will require multi-year reg projects on many provisions to clarify what they are doing. Congress needs to take these implementation issues seriously. 1/6
Some provisions are simple and there is no need for delay from implementation perspective. E.g., Rate changes. Delay could even create strategic behavior (see example below). 2/6 danshaviro.blogspot.com/2017/11/perver…
But other provisions are fundamentally overhauling our int’l tax system and creating brand-new regime for pass-throughs, with untold gaming opportunities. Businesses will have no idea how to comply w/out extensive regs. Folks I have spoken to in business community agree. 3/6
If these novel and complicated provisions go into effect before regulations issued, likely to be mass uncertainty, and even more extensive gaming with attendant revenue losses. 4/6
True, Congress sometimes has passed tax legislation that goes into effect almost immediately. But this is generally when legislation is simple, most often because just extending an expiring provision. 5/6
ACA thoughtfully built in several years for regs (see below) and Treasury/IRS/HHS still needed more time in some cases. Congress doesn’t appear to have thought through these issues at all in tax bill. 6/6 caregiver.org/sites/caregive…
