Congress Passes Tax Extenders Legislation Before Adjourning
Senators serving in the 113th Congress passed tax extenders legislation as one of their few last acts before adjourning last week. The bill, H.R.5771, or the Tax Increase Prevention Act, passed with a wide bipartisan margin, 76-16, on Tuesday. You can check to see how your senators voted here, but Connecting the Dots does understand that several senators voted against the legislation because it only provides a temporary extension of these provisions and these lawmakers instead preferred to make the policies permanent.
H.R. 5771 includes a one-year extension of several tax programs, including the research and development credit, bonus depreciation, enhanced Section 179 expensing, deferral for active financing and a reduced five-year built-in gains holding period for S-Corporations. The U.S. House passed the measure early in December on a 378 to 46 vote. (Check how your representative voted here.) The bill now goes to President Barack Obama’s desk; he is expected to sign it in the next few days.
The provisions will be in effect for 2014 only, which means the 114th Congress, which convenes Jan. 6, 2015 will still have to deal with the question of whether to extend these programs permanently.