WASHINGTON, D.C. – U.S. Senator Pat Roberts (R-Kan.) voted for a bipartisan two-year tax extenders package approved by the Senate Finance Committee, which will benefit small businesses, farmers and ranchers and families.

The Senate Finance Committee cleared the “tax extenders” bill on a 23 to 3 vote.

Included in the bill is a measure long championed by Sen. Roberts that helps members of the military qualify for low-income housing. The Low Income Housing Tax Credit (LIHTC), which will benefit Kansas military installations and helps soldiers in lower pay grades find affordable housing.

The bill also includes a pro-growth provision to help small businesses and startup companies to take advantage of the research and development (R & D) tax credit, allowing these companies to offset research expenses against payroll taxes in a way to free up cash that can be used for additional investment and hiring. Senator Roberts and Senator Chris Coons (D-Del.) have previously introduced this provision as a stand-alone bill.

“Research and development in new technologies and new products is an important source of economic growth,” Senator Roberts said. “The new technologies, products, and lower prices generated by investments in R&D create new jobs, raise wages, and create new demand for goods and services. Our legislation would increase cash flow for small businesses and start-ups involved in R&D intensive activities by reducing past, current and future tax liabilities leading to permanent tax savings. This would also reduce a company’s effective tax rate, increasing cash flow and improving earnings, which results in them becoming a more attractive investment."

An additional provision Senator Roberts has long supported, especially for farmers and ranchers, is the 50 percent bonus depreciation. Bonus depreciation allows businesses to immediately deduct half the cost of new equipment purchases and property rather than waiting for years to depreciate the cost.

“Bonus depreciation is one of the key tools to helping grow the economy,” Roberts said.  “It drives new investment in business assets because it reduces the risk of such investment, which in turn creates jobs and frees up cash that can be reinvested in the company.”

The bill now goes to the full Senate for a debate and vote.

-30-