Last night the House of Representatives passed a massive $1 trillion spending bill, after which House members began skipping town. Unfortunately, the spending bill was viewed as the final hurtle to jump on members’ way to Christmas vacation.
With the House no longer in session, the Senate is left with the option of passing HR 5771 (tax extenders) as it was originally delivered by the House or simply letting it die. Amendments to the bill would require it to go back to the House for approval but that is no longer an option.
If passed by the Senate, HR 5771 will extend WOTC and other tax-extender programs retroactively for 2014 only. Businesses that relied upon these programs in 2014 would be rewarded for their faithfulness. We are placed on notice, however, that the tax provisions will expire again in less than three weeks.
When Congress convenes again in 2015 it will be with new leadership, with new directives controlled by a new Republican majority in both houses. Big changes to the tax code have been promised. If we can rely upon the conversations of 2014, each tax extender will be evaluated on its merits either to be made permanent or to be eliminated.
Below you will find last night’s observations from Paul Suplizio, President of the WOTC Coalition. We published them here with permission.
From: “Paul Suplizio” <email@example.com>
Date: Thu, December 11, 2014 8:35 pm
Subject: House Passes Omnibus/Senate Plans To Pass Tax Extenders Tomorrow
December 11, 2014
The House passed the Omnibus 219-206 removing the last obstacle to final adjournment of the 113th Congress. Members are already on their way home.
As predicted, 58 strong conservative Republicans voted against the bill, but 38 Democrats voted with 181 Republicans to make a bare majority.
House adjournment leaves the Senate with no alternative but to pass the tax extenders bill received from the House, H.R. 5771, with a one year extension of current-law WOTC and VOW To Hire Heroes Act veterans tax credits for 2014.
The ABLE Act authorizing tax-free savings accounts for people with disabilities is part of H.R. 5771.
While Senate passage is 99 percent assured, any senator can hold up action on the Omnibus and tax extenders, requiring the Majority Leader to file cloture delaying action for 30 hours of debate.
Normally, comity prevails in the closing hours so the Senate should finish business tomorrow.
If the Senate passes H.R. 5771 tomorrow, the effective date of the Act will be the date the President signs it into law. As IRS is in a hurry, it shouldn’t be long coming but might take a week.
PAUL E SUPLIZIO
President, WOTC Coalition