On December 3, 2014, the House passed a one year extension for more than 50 tax breaks that had previously expired. While this is positive and helpful to many businesses and individuals, many had hoped for some permanent reform or at least a two year extension covering 2014 and 2015.
Discussions were underway between senior House and Senate leaders of both parties to make certain provisions permanent, but those discussions were ended by President Obamas’s veto threat. The administration believed the negotiations were too heavily favoring large corporations and not doing enough for the middle class. As a result, House Republicans moved forward with a short term extension.
Some of the key items extended under the House bill are listed below.
Business Extender Items
Individual Extender Items
While not certain, it appears that the Senate and White House will not oppose the extender bill. The House plans to adjourn for the year next week limiting the ability to make changes.
Paul Ryan, incoming House Ways and Means Committee Chairman, has announced that he plans to pursue an overhaul of the tax code in 2015 focusing on lowering corporate rates. He has indicated that changes would need to be made to account for pass-through entities as well.
Hopefully many of these items will be addressed permanently in any tax code overhaul.
Sean Sullivan is a 16 year marketing veteran specializing in both creative and strategic marketing initiatives. Key areas of expertise include lead generation and new customer acquisition, content development, project management, art direction, and multi-channel campaign implementation. A process oriented strategic thinker, Sean is adept at translating ideas and key messages into actionable insights and effective customer-focused marketing communications.More posts by Sean Sullivan