The House Moves Critical Tax Extenders Legislation
On Wednesday, the House approved H.R. 5771, the Tax Increase Prevention Act of 2014, by a vote of 378–46. This bill restores for all of 2014 (Jan. 1, 2014 – Dec. 31, 2014) tax provisions that expired at the end of 2013, including the alternative fuel and infrastructure tax credits for NGVs. The incentives are important because they help businesses more quickly offset the higher upfront costs of NGVs, and they reward investments in NGV fueling infrastructure. Unlike previous legislative proposals, it does not extend the tax incentives through 2015. Unfortunately, H.R. 5771 did not include a provision, promoted by NGVAmerica, to correct the LNG highway excise tax inequity. The tax bill now moves to the Senate, where Senate Finance Committee Chairman Ron Wyden (D-OR) has indicated that the Senate has no plans to amend the bill, setting the stage for an up-or-down vote. Senate leaders haven’t said when they will vote on the measure. The expectation is that the Senate will take action sometime before it adjourns at the end of the year. Given the current outlook, it appears that the next Congress will have to address the status of 2015 tax incentives when it convenes next year.