The House Ways and Means Committee approved several bills on April 29 that would restore and make permanent the alternative simplified research credit and five other expired tax provisions.

The markup represents the first move by Ways and Means Committee Chair Dave Camp, R-Mich., to extend any of the more than 50 tax provisions that expired at the end of 2013. In addition to the alternative simplified research credit, the committee also voted to make these provisions permanent:

  • Subpart F exception for active financing
  • Subpart F look-through rule for controlled foreign corporations income
  • Reduced five-year holding period for built-in-gains tax after a C corporation elects S corporation treatment
  • Limit in reduction in basis of S corporation stock for charitable gifts to the adjusted basis of the property and not the fair market value
  • Section 179 expensing

For more information on the committee's vote, see Tax Legislative Update 2014-04. According to House Majority Leader Eric Cantor, R-Va., the House of Representatives is expected to vote on whether to make the research credit permanent during the week of May 5.

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