In Brief: Small business tax package
This article was originally published in The Gray Sheet
Executive Summary
Small business tax package: House/Senate conferees approve plan for 10-year phase-out of the Sec. 936 tax credit for businesses in Peurto Rico under a conference version of the Small Business Job Protection Act of 1996 (HR 3448). Companies currently receiving the wage-based credit can claim six years of the current credit, followed by a four-year phase-out. Companies claiming the income-based credit will continue to receive two years of the full credit, followed by eight years subject to an income cap. The conference agreement also includes an 11-month extension of the research and experimentation (R&E) tax credit for the period July 1, 1996 through May 31, 1997 ("The Gray Sheet" July 15, I&W-11)...