The Joint Committee On Taxation COLI Report

The Congressional Joint Committee on Taxation yesterday issued this report: “Present-law Federal Tax Treatment, Proposals, and Issues Relating to Company-Owned Life Insurance.” Roth CPA calls it the “best short guide available to this arcane area of the tax law.” The document was prepared in advance of hearings before the Senate Finance Committee which were supposedly to take place today on the proposal to eliminate the tax-free treatment of life insurance proceeds for former employees. It is my understanding that the hearings were postponed until next week.