Legislative update: House passes bipartisan tax extenders legislation
U.S. House of Representatives passed H.R. 7024, the “Tax Relief for American Families and Workers Act of 2024”
The U.S. House of Representatives today passed H.R. 7024, the “Tax Relief for American Families and Workers Act of 2024,” bipartisan legislation that would address scheduled changes in business taxation under the “Tax Cuts and Jobs Act,” among other provisions. The bill was passed by a vote of 357-70 (with 169 Republicans and 188 Democrats voting for it, and 47 Republicans and 23 Democrats voting against it).
The provisions of the bill include:
- Enhancements to the child tax credit
- Expensing for research & development (R&D)
- Extension of allowance for depreciation, amortization, or depletion in determining the limitation on business interest deductibility
- Extension of 100% bonus depreciation for investments in machines, equipment, and vehicles
- Increase in limitations on expensing of depreciable business assets
- Taiwan double-tax relief
- Disaster tax relief
- Enhancement of the low-income housing tax credit
- Increased threshold for information reporting on Forms 1099-NEC and 1099-MISC
The revenue cost of the plan would be offset by acceleration of the filing deadline for employee retention credit (ERC) claims to January 31, 2024, extension of the statute of limitations on period of assessment and compliance changes.
Read text of the bill—H.R. 7024 [PDF 220 KB] (82 pages)
Read section-by-section summary [PDF 220 KB] of the bill as introduced
Read Amendment in the Nature of a Substitute [PDF 212 KB]
For more information, read TaxNewsFlash
Next steps
It remains uncertain whether the bill will be passed by the Senate and signed into law by President Biden.
It is possible the Senate could take up the bill as soon as next week. Otherwise, the Senate is scheduled for recess from February 10 – 25 and would not be expected to consider the bill until after they return at the earliest.