House approves tax extenders deal

House approves tax extenders deal

House bill includes permanent higher section 179 expensing

The House on Thursday approved with a 318-109 vote a $622 billion "tax extenders" deal that provides either short-term extensions or permanent extensions of several tax breaks.

The approval precedes another vote, expected Friday, on the omnibus spending bill. That bill also includes some tax provisions.

Subsequently, the Senate is expected to vote on both bills to avoid a government shutdown, similar to one experienced in the fall of 2013.

According to reporting from The Hill, the tax measure is more controversial with Democrats because of the concern that it will raise the deficit and increase pressure to curb spending.

House bill includes permanent higher section 179 expensing

Tax breaks included in the bill are expansions of the earned income tax credit, the child tax credit and the American opportunity tax credit. Others important to small businesses are the research and development tax credit and higher section 179 expensing.

"By making a number of temporary tax provisions permanent, [the bill] will deliver predictability, clarity and certainty for individual taxpayers as well as people managing businesses and trying to invest for the future," said Ways and Means Committee Chairman Kevin Brady, R-Texas.

"How can families and local businesses count on tax relief each year as long as Congress can’t decide what’s permanent and what’s not? That confusion ends with this bill."

See full coverage on the tax extenders bill and the omnibus bill:

Farm groups praise, lament omnibus spending bill, Farm Progress

House approves $622B tax plan, The Hill

Concerns rise over $1.1 trillion spending bill, Politico

Ryan tax deal includes extenders, Farm Futures

White House praises sweeping omnibus, tax deal, The Hill

U.S. House backs permanent tax breaks in massive bill, Reuters

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