Congressman Joe Baca (D-Rialto) today joined a bipartisan majority in the House of Representatives to support legislation that will extend for another year tax credit provisions that will benefit millions of American middle-class families and businesses. H.R. 4213, the Tax Extenders of 2009 Act, was approved by a 241- 181 vote.
"In this difficult economic climate, we must do all we can to assist American families and encourage greater growth in the business community," said Rep. Baca. "This responsible tax extenders bill is an important step in stabilizing our economy, strengthening opportunities for job growth, and providing additional financial relief to hard-working families."
H.R. 4213 extends the research and experimentation (R&E) tax credit for another year, encouraging businesses to increase investments in technology and create more high-tech jobs for the twenty-first century. And to help strengthen the pocket book of American families, the bill extends the deductibility of state and local sales taxes and property tax relief. It also extends the college tuition deduction, and provisions that allow for the deduction of classroom expenses for teachers.
H.R. 4213 also takes steps to make sure that activated military reservists do not suffer a pay cut by providing a tax credit for small businesses that continue to pay their National Guard and Reserve employees when they are called up to serve. In addition, the bill is fiscally sound and does not increase the deficit. The measure provides the IRS with significant new tools to crack down on investors evading taxes by hiding assets offshore and ends the special preferential tax treatment for hedge fund and investment bankers.
"Over 30 million homeowners and 4.5 million families sending a loved one to college will benefit from the tax provisions extended with today's legislation," commented Rep. Baca. "With unemployment above 14% in the Inland Empire, it is essential we act decisively to help struggling families, and retool our economy for future growth. Extending these critical tax provisions is a necessary step in this process. We must continue to support America's families and businesses as together we face our current economic challenges."