Levin looks at S Corps to help pay for extender bill

In his pursuit to offset legislation extending several expired tax breaks, House Ways and Means Chairman Sandy Levin (D-Mich.) could close a loophole that allows S corporations to avoid paying employment taxes. 

Levin could also prevent the "splitting" of foreign tax credits, which can occur when a company applies the credits from one subsidiary to the income of another. The Chairman would require the tax credits only apply to income that the credits are linked to. 

Taxing carried interest at a level above current capital gains tax rates is also being discussed by members, among other provisions. 

Levin plans to complete work on the extender package before Memorial Day.