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S. 1335119th CongressIn committeeLatest action Apr 8, 2025Decoded by AI · checked against the record
The plain-language version leads. The official text is always the reference.
S 1335 reclassifies insurer debt investments and doubles the capital loss carryforward window from 5 to 10 years.
45-second read · 4 questions answered below
S 1335 removes debt investments such as bonds and loans from the definition of capital assets for certain insurance companies, changing how gains and losses on those holdings are taxed. The bill also extends the period during which these companies can apply capital losses against future taxes, stretching the window from 5 years to 10 years.
Mid-sized and large domestic insurance companies, particularly life insurers selling policies to families, are directly affected. Policyholders may be indirectly affected if the changes influence their insurer's financial stability or product pricing.
Reclassifying debt investments is intended to reduce tax complications when insurance companies sell bonds they hold. Extending the loss carryforward period gives companies more time to offset tax liability with prior investment losses, which could affect company finances and, indirectly, policyholders.
AI-drafted summary. Verify it against the official text before you act on it. Read the official bill on Congress.gov
Right now: a Senate committee is reviewing it. If the House changes it, it goes back to the Senate before reaching the President.
Latest action: — Read twice and referred to the Committee on Finance.