As Congress and the rest of America head into a two-year confrontation over taxes, the Federal government made a clear-cut decision on revenue policy last week, repealing the 3% withholding tax. And the repeal might actually make life easier for financial planners and their clients.

The tax was a preemptive measure, adopted in 2005, to ensure that government contractors paid appropriate income taxes on work completed for the government. It would have affected business owners into 2013 had it not been repealed.

Register or login for access to this item and much more

All Financial Planning content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access