“American Jobs and Closing Tax Loopholes Act” Provides Business Tax Relief Provision

Last week congress acted to address jobs and the economy as the House passed the “American Jobs and Closing Tax Loopholes Act” (H.R. 4213), which included several business tax relief provisions.

Included were a one-year extension of the Research & Development credit, refundable AMT credits for printing companies making a 2010 investment in capital equipment for use in domestic facilities, and a one-year extension of a tax provision that provides eligible small printers with a wage credit for activated military reservists. Also included was multi-employer pension plan funding relief that would allow an optional use of 30-year amortization periods, optional longer recovery periods for plans in endangered or critical status, and alternative default schedule for plans in endangered or critical status. The Senate must pass its version of a jobs bill before President Obama is able to sign the legislation into law; passage is expected following the Memorial Day recess period.