A recently introduced bipartisan bill in the U.S. Senate would extend 26 different tax credits, deductions and incentives that expired in 2017 and 2018.
Sponsored by Senate Finance Committee Chairman Charles Grassley (R-IA) and Ranking Member Ron Wyden (D-OR), the bill, S.617, would continue tax benefits for U.S. Empowerment Zones, renewable energy, tuition and higher education costs and housing costs.
“Many of these industries made business decisions last year based on that reasonable expectation that (these tax provisions) would be extended since it’s what Congress has consistently done in the past,” Grassley said in a written statement. “I hope the House of Representatives acts soon since taxpayers affected by these expired provisions have to file their tax returns in the coming weeks. Thousands of jobs across the country depend on it.”
“It’s important this is a two-year bill covering 2019, and it includes key renewable energy incentives I’m proud to fight for,” Wyden said. “Filing season for 2018 is already underway, so the Congress should act on this quickly.”
New Jersey has one of the 40 specifically designated empowerment zones, Cumberland County, and is part of a second, the Philadelphia-Camden zone. The benefits include tax exempt bond financing, an income tax credit for employers who hire qualifying employees, accelerated depreciation deductions on qualifying equipment under section 179, and deferral of capital gains tax on the sale of qualified assets.
For a full list of extenders, go here.