Note: This updated Insight originally released on October 31 covers the tax provisions of the bill as passed by the House on November 19. The House-passed provisions of the legislation are expected to be amended by the Senate. PwC will address Senate action on the Build Back Better legislation in other insights.
The House on November 19 voted 220 to 213 to pass the “Build Back Better” reconciliation bill (H.R. 5376) that includes more than $1.5 trillion in business, international, and individual tax increase provisions.
The House-passed Build Back Better legislation is expected to be revised by the Senate, which would then require further action by the House. A final identical version of the legislation must be approved by both the House and Senate before it can be signed by President Biden.
The material below analyzes key business and individual provisions proposed as part of the Build Back Better bill (the bill) that was passed by the House on November 19.
The Build Back Better bill that was passed by the House reflects (1) a November 3 substitute amendment making changes to several tax provisions and other parts of the bill text that was released earlier on October 28 by the House Rules Committee, and (2) a “chairman’s amendment” offered by House Budget Committee Chairman John Yarmuth (D-KY). The House-passed bill also reflects a floor amendment adopted on November 18 that made certain changes to non-tax provisions in the legislation in an effort to ensure the bill as approved by the House complies with Senate reconciliation rules and the reconciliation instructions in the FY 2022 budget resolution.
A chart summarizing effective dates in the bill is set forth at the conclusion of the Insight.