The Senate budget deal contains multiple “tax extenders” that carry over supposedly temporary tax breaks from previous years.
These extenders are an odd bunch and include tax breaks for everything from horse farms to craft breweries, but collectively they’re worth billions of dollars to the special interests they benefit.
According to the Joint Committee on Taxation, the tax extenders contained in the current Senate budget deal will cost the government $17.4 billion in lost revenue over the next decade.
Here are a few illustrative examples cited by Politico of “temporary” tax breaks that will live to see another day thanks to the budget deal:
- Accelerated depreciation schedules for motorsports entertainment complexes, including NASCAR
- A provision that will allow Newman’s Own Foundation to avoid a massive tax bill
- A tax break for rum producers in the Virgin Islands and Puerto Rico
- Special expensing rules for film and TV producers
- A tax credit for a nuclear reactor being built by Southern Co.
For the full list of the extenders and an estimate of their costs, see the JCT’s analysis here.