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Isakson Looks to Continue Home Buyer Tax Credit via Unemployment Extension Bill
Friday
, October 23, 2009
11:45 AM
 

Senator Johnny Isakson (R-GA) intends to propose an amendment to the Unemployment Compensation Extension Act (H.R. 3548) that would extend and expand the $8,000 home buyer tax credit through June 30, 2010, by removing the first-time home buyer requirement and raising the annual income ceilings to $150,000 for individuals and $300,000 for married couples. Only first-time home buyers currently qualify for the tax credit, which was enacted under the Economic Recovery and Reinvestment Act (P.L. 111-5), and is set to expire on Nov. 30, 2009. Isakson's proposal is estimated to cost $16.7 billion over five years.

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Senate Democratic and Republican leaders yesterday agreed to postpone today's scheduled vote on whether to proceed to consideration of the unemployment benefits extension legislation. That vote will now occur on Tuesday, Oct. 27. The body is expected to vote in favor of moving to the bill and then begin debate on amendments. Senate Majority Leader Harry Reid (D-NV) has been seeking an agreement with the Republican leadership on a set list of amendments, an objective that in part has slowed the bill's movement in the Senate.  

As passed by the House, H.R. 3548 would extend unemployment benefits to states where the unemployment rate is 8.5 percent or higher. However, Reid and Senate Finance Chairman Max Baucus (D-MT) are expected to offer a substitute amendment to the House-passed bill that would provide an extension to all 50 states by up to 14 weeks, and up to 20 weeks for states with unemployment levels exceeding 8.5 percent. The cost of both proposals would be offset by extending the federal unemployment tax.




"Next week will be a busy week," Reid said yesterday during a floor statement. "We hope to complete action on the Unemployment Insurance Extension Act, Commerce-Justice-Science Appropriations, and Military Construction Appropriations. We also need to pass a continuing resolution before the end of the week."



© Copyright Capitol Hill Reports, Inc. (2009). No claim to original government works.