President Signs Energy and Virginia Tech Victims Legislation

On December 19, 2007, the President signed the Energy Independence and Security Act of 2007. Although most of the tax provisions were stripped out of the legislation prior to passage, two revenue raisers remain. One extends the additional 0.2 percent FUTA surtax that has been with us since 1976. The other lengthens the amortization period for geological and geophysical expenditures for certain major integrated oil companies from five to seven years.

On December 19, 2007, the President also signed the Prevent Taxation of Payments to Virginia Tech Victims and Families Act. The legislation provides an exclusion for certain payments made on account of the April 16, 2007, shooting at Virginia Tech. The revenue offset for this provision is a one dollar increase in the penalty for failure to file partnership returns.