November 2, 2017
House Tax Reform Bill Pursues Economic Growth & Job Creation by Preserving Accelerated Depreciation and Expanding Rapid Cost Recovery
Kevin Dempsey, Senior Vice President for Public Policy at the American Iron and Steel Institute and spokesman for the CRANE Coalition, issued the following statement about today’s announcement of a new House tax reform bill:
“We applaud the House for pursuing increased economic growth and job creation by preserving the Modified Accelerated Cost Recovery System (MACRS), which has been proven over decades of bipartisan policymaking to support domestic investment by keeping the cost of capital lower. The House also builds on the MACRS foundation by instituting full expensing of machinery and equipment for five years.
“Along with the sharply reduced corporate tax rate, the continuation of MACRS and the institution of expensing will help ensure that U.S. businesses can compete at home and abroad with businesses from anywhere in the world.
“The expensing provision would be most effective in helping to generate investment and growth if it was a permanent change but we understand policymakers need to make tradeoffs to reach the overall goal of pro-growth tax reform that can be signed into law. We intend to continue to working to advocate for extending expensing, like bonus depreciation, to continue the policy trend toward faster cost recovery.”
The Cost Recovery Advances the Nation’s Economy (CRANE) Coalition is made up of American companies and associations focused on preserving accelerated depreciation to provide the capital needed to continue driving America’s economic growth and job creation here at home.