On April 29, the House Ways and Means Committee held a markup of six bipartisan bills that would make several business extenders permanent.
The markup focused on tax provisions that expired at the end of 2013 including the Research & Experimentation tax credit and Section 179 Business Expensing.
Specifically, the committee addressed the America’s Small Business Tax Relief Act of 2014 (H.R. 4457), legislation introduced by Reps. Pat Tiberi (R-Ohio) and Ron Kind (D-Wis.) that would make permanent expensing under Section 179 at its 2013 levels, allowing a $500,000 maximum of equipment expensing for companies with up to $2 million in qualified investments.
This is great for businesses who want to invest in new or upgraded equipment or software for their companies. For an example of the tax savings to be gained, click here. To learn more about the Section 179 tax benefit, visit www.section179.org
The committee also examined the way S corporations’ built-in gains are recognized for tax purposes and addressed provisions that help multinational corporations.
Earlier this month, the Senate Finance Committee approved a package that would extend nearly all of the 55 breaks that expired at the end of the year for two years. Senate floor action isn’t expected until June.
For the complete article by NSBA with more specific legislative language from each bill, click here.