Obama Signs 2014 Tax Extenders Bill
President Barack Obama today signed “The Tax Increase Prevention Act of 2014” (H.R. 5571), a tax incentives bill that retroactively extends through the end of 2014 most temporary tax provisions that expired at the end of 2013. The one-year extension act passed the Senate earlier this week by a vote of 76-16. The House passed the legislation 378-46 on Dec. 3.
The bill includes several provisions of interest to the tax credit community. They include an extension of the 9 percent floor for low-income housing tax credit (LIHTC) allocations made for non-federally subsidized buildings before Jan. 1, 2015; an extension through the end of this year for the new markets tax credit (NMTC); and an extension of the production tax credit (PTC) for wind and certain other renewable energy sources for facilities that begin construction before the end of this year. The legislation also includes an extension of 50 percent bonus depreciation to property acquired and placed in service during 2014 (and 2015 for certain properties with a longer production period).
Tune into the Dec. 23 episode of the Tax Credit Tuesday podcast for more information.