The Senate this morning passed (70-to-28) the $15-billion jobs package offered by Senate Majority Leader Harry Reid, D-Nev., which includes payroll tax breaks, bond-financing for state and local infrastructure projects, a small-business expensing provision, and an extension of federal highway programs.
The bill includes the following provisions:
- Hiring tax incentives — Exempts employers from paying the 6.2 percent Social Security payroll tax this year on newly hired workers that have been unemployed for 60 days or more. Provides additional $1,000 tax credit for workers retained for at least a year.
- Highway programs — Reauthorizes through the end of 2010 the highway trust fund to use gasoline taxes to help state and local governments pay for highway and transit projects.
- Equipment write-offs — Permits businesses to write off equipment purchases as a business expense rather than depreciating them over time.
- Build America Bonds — Expands the Build America Bonds program to subsidize the interest costs of bonds for include certain school and energy projects.
Angela Lockman