September 21, 2012
U.S.

House Republican freshmen urge action on extenders

By LAUREN FRENCH and STEVEN SLOAN | Politico | www.politico.com 20 September 2012

Fifty House Republican freshmen urged the Ways and Means Committee on Thursday to act on legislation that would extend billions of dollars in lapsed and soon-to-expire targeted tax breaks.

Congress normally renews the tax “extenders” – many of which are popular business tax provisions, and are traditionally dealt with on a short-term basis – with little difficulty, when they are set to expire. But the tax breaks, including credits for research and development funding and renewable energy, have come under greater scrutiny this year as lawmakers consider budget-cutting proposals and mull a potential overhaul of the entire Tax Code.

Against that backdrop, the freshmen, led by Rep. Reid J. Ribble (R-Wis.), said that businesses and families are counting on the tax breaks’ extension in the short term. “While we may not agree on the merits of each and every extender, we are advocating for an appropriate and fiscally responsible transition period to prevent any negative economic impacts,” the freshmen wrote in a letter to the Ways and Means Committee.

No action is likely before the election, however, and House Ways and Means Committee Chairman Dave Camp (R-Mich.), told reporters Wednesday he wants to address the expiring Bush-era tax rates before considering what to do with the extenders package.

Rep. Patrick Tiberi (R-Ohio), a senior Ways and Means member, is leading the House effort to decide which provisions in the extenders package should be continued. He has said he won’t unveil a package before the election.

The three Republican freshmen on Ways and Means – Rick Berg of North Dakota, Diane Black of Tennessee and Tom Reed of New York – did not sign the letter.

The Senate Finance Committee approved a $205 billion extenders package in August, but the measure has yet to see action on the Senate floor.

If lawmakers don’t pass tax extender legislation before the House goes into recess on Friday, the issue will be debated during a lame-duck session of Congress after the Nov. 6 election. That’s when Congress will also face the looming expiration of the Bush-era tax cuts, and the impending budget sequester – Washington-speak for the across-the-board funding cuts that are scheduled to hit most government spending programs in January.