MFA Letter to Chairman Baucus and Ranking Member Grassley on H.R. 6049

MFA sent a letter to Senate Finance Committee Chairman Max Baucus (D-MT) and Ranking Member Charles Grassley (R-IA), on H.R. 6049, the Renewable Energy and Job Creation Act of 2008), which, among other things, repeals the tax deferral of offshore compensation arrangements to pay for clean energy tax credits and tax extenders on popular business deductions and credits. The current draft of the bill includes 10-year transitional relief for existing arrangements, but does not provide such relief for existing side pocket investments. MFA’s letter requests transitional relief for these investments, effectively making the bill prospective in nature.