Daily Tax Update - April 7, 2014: Ways and Means to Hold Hearing on Extenders Tomorrow

WAYS AND MEANS TO HOLD HEARING ON EXTENDERS TOMORROW:  On April 8, the House Ways and Means Committee will hold a hearing to examine the impact of continuing to renew the expired or expiring tax provisions (“extenders”) on a short-term basis or to make some of them permanent.  According to the Committee, “The hearing will explore the value in having stable, permanent tax policy for employers, as well as the problems caused by tax policies that frequently expire and are extended for short periods of time (and often retroactively).  To that end, the hearing specifically will consider those expired business tax provisions that are either made permanent or are provided long-term extensions under the discussion draft of the Tax Reform Act of 2014.”

In announcing this hearing, Chairman Dave Camp said, “One major goal of tax reform is to provide stable, predictable rules for businesses so that they can grow, create jobs, and increase wages.  Congress must end the practice of short-term tax policy, extending important business tax provisions for one or two years at a time makes it very difficult for employers to plan and adds immense confusion and complexity for taxpayers.  The long-standing tax provisions that help businesses grow the economy and create jobs should be made permanent once and for all.” 

SENATE SET TO PASS SHORT-TERM UNEMPLOYMENT EXTENSION:  The Senate is expected to pass a five-month extension of unemployment benefits bill today.  The Senate bill would pay the unemployed retroactive to December and expire at the end of May.  House passage of the Senate bill is doubtful since the Republican leadership has said they do not want to bring an extension of unemployment benefits bill to the floor unless it contains some provisions creating jobs.