More On Tax Planningfrom The Advisor's Professional Library
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- Agency and Principal Transactions In passing Section 206(3) of the Investment Advisers Act, Congress recognized that principal and agency transactions can be harmful to clients. Such transactions create the opportunity for RIAs to engage in self-dealing.
In the continuing battle over the Bush-era tax cuts, House Republican leader John Boehner of Ohio said on Sunday, September 12, that he was open to voting for President Barack Obama's plan to maintain the lower tax rates for couples earning less than $250,000, but letting them expire for those earning more.
Speaking on "Face the Nation" on CBS, Boehner said that lacking any other option he would support Obama's tax plan, but said that he thinks "raising taxes in a very weak economy is a really, really bad idea."
Obama, in a speech on September 8 in Ohio, said he wanted to let the tax cuts passed under President George W. Bush -- in 2001 and 2003 -- to expire at the end of 2010, but just for individuals earning more than $200,000 annually or couples earning more than $250,000. The changes would affect dividend and capital gains rates as well.
But Boehner said that he would not vote for Obama's limited version without first pushing hard for an extension for everyone.
"If the only option I have is to vote for those at 250 and below, of course I'm going to do that," Boehner said. "But I'm going to do everything I can to fight to make sure that we extend the current tax rates for all Americans."