NBAA, Other Groups Call on Senate To Extend Tax Breaks
NBAA and more than 150 other associations and coalitions sent a letter last week to the U.S. Senate urging swift passage of a bill to restore tax incentives that expired last year, including accelerated depreciation on purchases of long-term capital assets such as business aircraft.
“These tax provisions benefit a wide range of taxpayers, including associations, businesses, individuals, community development organizations and nonprofit organizations and are important to U.S. jobs and the broader economy,” the letter states. “The lack of timely action to extend these provisions injects instability and uncertainty into the economy and weakens confidence in the employment marketplace.”
The Senate bill, formally known as the Expiring Provisions Improvement Reform and Efficiency Act, enjoys broad bipartisan support, according to NBAA. While it was approved by the Senate Finance Committee last month, the bill stalled in the full Senate over a procedural dispute.
The letter calls on the Senate to pass its bill “as soon as possible,” adding that 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.” Accelerated, or “bonus,” depreciation allows for additional depreciation in the first year after a capital asset is purchased. This encourages companies to invest in equipment that makes them more productive and competitive, the letter signers contend.