Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
House Votes To Make Bonus Depreciation Tax Cut Permanent
Author: Scarinci Hollenbeck, LLC
Date: July 25, 2014
Key Contacts
Back
The U.S. House of Representatives voted July 11 to make permanent a temporary tax cut that allows businesses to write off 50 percent of the cost of new equipment in the year that it is purchased, according to The Associated Press. Proponents of the break argue that it makes it easier for businesses to invest in new equipment, while opponents say that it bestows little real benefit for a high price tag. The House approved the bill with all but two Republicans in a 258-160 vote.
“It’s easy, if you want to grow the economy, encourage job creation and increase federal revenue, you support making bonus depreciation permanent,” said Rep. Pat Tiberi, R-Ohio, who sponsored the bill, according to the AP. “Permanency gives job creators the certainty they need to plan and invest in their businesses, including hiring employees.”
The White House, which is threatening to veto the bill, countered by saying that the break “was never intended to be a permanent corporate giveaway,” the news source reported. The bill adds $287 billion to the budget deficit over the next ten years, as no spending offset was included.
Rep. Lloyd Doggett, D-Texas, expressed his frustration with the reduced government income during the July 11 debate, according to CNN. A number of significantly smaller bills have been blocked in the House by Republicans’ insistence that spending be offset by cuts elsewhere, including $3.7 billion to respond to children crossing the Mexican border, $11 billion to continue funding highway projects and $35 billion to fix the veteran’s health care crisis.
“Wildfire season is approaching and there are not enough resources,” said Doggett, according to CNN. “Our highways crumble, bridges literally fall down… While there is so much of vital needs that we just don’t seem to have the resources to address, these same Republicans tell us that we can afford to borrow from the Chinese or the Saudis to deliver [tax cuts].”
Find out how tax breaks are affecting U.S.businesses from some of my previous posts:
- House Makes Small-Business Tax Break Permanent
- New Jersey Gives $260 Million Tax Break To Holtec International
- Sen. Wyden to focus on restoring tax breaks
- EU Investigating Tax Breaks for US Multinationals
- Practices: Tax and Trusts & Estates, Sophisticated Estate Planning & Wealth Preservation
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
When a Child Turns 18: The Gap in Your Family’s Estate Plan
Once a child turns 18, parents lose the automatic legal authority to make medical and financial decisions on their behalf, even if the child still lives at home or remains on the family’s insurance. Three documents close that gap: a durable power of attorney, a health care proxy or directive, and a HIPAA authorization. For […]
Author: George McGowan
Business Mediation: An Overview and Practical Tips
Business mediation is a confidential, voluntary process in which a neutral third party helps companies negotiate a resolution to a commercial dispute without going to trial. Because working with a mediator is very different from litigating in the courtroom, it is important to understand how commercial mediation works, when it makes sense for your dispute, […]
Author: Paul Grossman
Top 5 Causes Leading to Construction Defect Litigation
The five most common causes of construction defect litigation are design defects, substandard materials, workmanship defects, code violations, and subsurface defects. Because these flaws can compromise a building’s integrity, functionality, or safety, they frequently lead to disputes involving multiple parties and high financial stakes. Key takeaways: What is Construction Defect Litigation? Construction litigation is complex, […]
Author: Paul Grossman
How to Protect Your New Jersey Business When Going through a Divorce
The most effective ways to protect your business in a divorce are put in place before one begins: a prenuptial or postnuptial agreement, clean separation of business and personal finances, and divorce contingencies built into your operating or buy-sell agreements. If divorce is already underway, the priorities shift to establishing how the business is classified […]
Author: Jay McDaniel
10 Common Issues in Franchise Disputes
The most common franchise disputes involve breach of contract, franchise termination and non-renewal, intellectual property rights, territorial encroachment, royalty and fee payments, franchisor support obligations, and violations of state franchise laws such as the New Jersey Franchise Practices Act. Franchisors and franchisees can often resolve these conflicts by providing written notice detailing the dispute and […]
Author: Paul Grossman
Reputational Risk and Legal Exposure: Why New Jersey Businesses Must Manage Them Together
New Jersey businesses must manage legal and reputational risk together because modern disputes play out on two fronts at once: the legal proceeding itself and the court of public opinion, where customers, employees, investors, and business partners often reach conclusions long before a judge or jury has had the opportunity to evaluate the facts. Success […]
Author: Sean M. Pena
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.