Federal Relations

Education Provisions in Tax Extension Bill

Before leaving for the Memorial Day congressional recess, the House passed a package of tax “extenders” (HR 4213) by a vote of 215 to 204.  It retroactively extended a number of expired provisions of interest to the higher education community, including:  the tuition deduction, the ability to “rollover” Individual Retirement Accounts (IRA) without penalty; and, research and development tax credits.  The bill would also extend the Build America Bonds (BABs) program through the end of 2012, with the subsidy rate decreasing to 30 percent those bonds issued in 2012.