A House panel will work this week on re-upping expired tax breaks and making them permanent.
The Ways and Means Committee announced Tuesday that it would hold a markup Thursday to pass a slew of tax bills, including several so-called “extenders,” or temporary tax provisions that are frequently renewed.
Among the provisions is a tax break, known as “bonus depreciation,” that allows businesses to more quickly write off the cost of new investment.
That measure expired at the end of last year. A bill written by Rep. Pat Tiberi, R-Ohio, would reinstate it and make it permanent.
It’s a significant bill: An earlier version of a Republican bill to make bonus depreciation permanent would have cost the Treasury roughly a quarter-trillion dollars over 10 years, according to an analysis from the Joint Committee on Taxation.
The committee also will mark up two bills related to foreign earnings of U.S. companies.
Also among the legislation is a measure, sponsored by Rep. Dave Reichert of Washington, that provides tax deductions for teachers who spend their own money on school supplies for students.
Under Ways and Means Chairman Paul Ryan, the committee has been following a plan to pass permanent extensions of many of the 50-plus extenders.
Reauthorizing the breaks and making important ones permanent is a top priority for businesses this fall, and how the extenders will be treated is one of the major questions surrounding fiscal issues.
Earlier this year, the Senate passed a package reauthorizing major extenders for two years, at a 10-year cost of $95 billion to the Treasury.
Ryan and other Republicans have argued that the lost revenue from the tax breaks should be considered part of the budget baseline, considering that they are generally re-authorized.
