House Sends Small Business Tax Bill to Senate

For over 50 years, Bloomberg BNA’s renowned flagship daily news service, Daily Tax Report® has helped leading practitioners and policymakers stay on the cutting edge of taxation and...

The House passes, 246-178, a $19 billion small business tax bill, sending the debate on creating jobs and stimulating the economy over to the Senate. At $7.46 billion, the largest infrastructure provision in the Small Business and Infrastructure Jobs Tax Act (H.R. 4849) is a three-year extension of Build America Bonds for state and local infrastructure projects, which Democrats say create much-needed jobs. But Republicans criticize the provision for putting money in the hands of government instead of small businesses. The bonds are “popular,” says Rep. Brady of Texas, but “taking shape as a long-term entitlement for which our local governments are quickly becoming addicted.” Ways and Means Committee Chairman Levin defends the provision, saying “I don't know who else builds infrastructure.” Levin says he has some optimism about the bill's prospects in the Senate and that he already has begun conversations with senators about moving forward.