WASHINGTON -Ways and Means Committee Chairman Charles B. Rangel (D-NY) today introduced legislation to provide tax relief to millions of families, strengthen investment opportunities for American businesses and encourage the production and use of renewable energy. Chairman Rangel’s bill, H.R. 6049 the Energy and Tax Extenders Act of 2008, will extend tax credits and deductions that expired last year or would expire at the end of this year. H.R. 6049 will be considered by the Ways and Means Committee tomorrow.
“This bill provides critical tax relief to American families and businesses without burdening future generations with an increase in the national debt," said Chairman Rangel. “By extending these provisions, we help reassure families and businesses that their tax bills will not increase this year. This bill would also help companies move forward with critical investments to build new technologies and provide incentives for renewable energy and energy conservation to help reduce our nation’s dependence on foreign oil."
H.R. 6049 would provide important tax relief for individuals and families, including:
* Deduction of State and local sales tax
* Deduction of tuition and other education expenses
* Deduction of out-of-pocket expenses by teachers
* Deduction of property taxes for non-itemizers
* Relief for more than 12 million children through an expansion of the refundable child tax credit to taxpayers earning $8,500 a year.
H.R. 6049 will also provide critical tax incentives for businesses to invest in new technology by:
* Extending the research and development credit and active financing provisions.
Chairman Rangel’s legislation would also help reduce America’s dependence on foreign oil by encouraging the use and production of renewable energy through:
* A six-year extension of the investment tax credit (ITC) for solar energy
* Three-year extensions of the production tax credit (PTC) for energy derived from biomass, geothermal, hydropower, landfill gas and solid waste
* A one-year extension of the PTC for energy derived from wind
* Tax incentives for coal electricity plants that capture and sequester carbon dioxide.
* Incentives for the production of renewable fuels such as biodiesel and renewable diesel and cellulosic biofuels
* Incentives to encourage energy efficient products, such as plug-in hybrids cars, and incentives for energy conservation in both commercial buildings and residential structures
* Tax credit bonds providing State and local government with funds to make energy conservation investments in public infrastructure and invest in research
