Tuesday, May 27, 2014
ACA urged members of the U.S. Senate to pass the Expiring Provisions Improvement Reform and Efficiency (EXPIRE) Act of 2014 without delay in a May 20 letter.

ACA was among 150 organizations to sign on to the letter urging Senate action on tax extenders that expired at the end of 2013.

The EXPIRE Act will extend the tax provisions that expired at the end of 2013 — provisions that benefit a wide range of taxpayers, including associations, businesses, individuals, community development organizations, and non-profit organizations and that are important to U.S. jobs and the broader economy. The legislation also includes the R&D credit, deferral for active financing income, the “look-through” rule, enhanced Section 179 expensing, and 50 percent bonus depreciation.

“The lack of timely action to extend these provisions injects instability and uncertainty into the economy and weakens confidence in the employment marketplace,” the letter stated. “Moreover, the extension of the expired provisions should not be delayed until the end of the year since companies are making decisions right now related to taxes that will have an immediate impact on the economy.”

The U.S. House of Representatives on May 9 voted 274 to 131 to approve H.R. 4438, legislation that would both strengthen and make permanent the R&D credit, which would increase the alternative simplified credit formula from 14 to 20 percent and retain the current definition of qualified research expenses that includes both supplies and computer software.