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Legislation: Senate Moves To Broaden ARRA Tax Breaks

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The Senate at press time was nearing a vote on extensions and expansions of American Recovery and Reinvestment Act tax and benefit provisions. Advocates won a procedural vote on Nov. 2, moving the bill closer to final action. The measure would extend ARRA’s $8,000 first-time homebuyers’ tax credit to contracts through April 30. It also would give a $6,500 credit to those who owned and lived in their present house for five years and seek to buy a new home. The bill would widen ARRA’s small-business five-year operating-loss carry-back to cover all companies. It extends unemployment benefits for 14 weeks, plus six more weeks in states with jobless rates of 8.5% or more. The bill has no new public-works spending. The House has approved a measure that extends only unemployment benefits.

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