House votes to make business tax break permanent; White House says $287B price tag too costly

WASHINGTON – The House has passed a bill to create a permanent tax break making it easier for businesses invest in new equipment.

The tax break is temporary now. It lets businesses write off the costs of new equipment more quickly, making it popular among business groups.

But the White House has threatened a veto because the bill would add nearly $290 billion to the budget deficit over the next decade.

The tax break is known as bonus depreciation. It’s been around for years but has never been permanent.

The latest version was enacted in 2008 to help jump-start the economy. The White House says it was never meant to be permanent.

Ohio Republican Pat Tiberi (TEE’-bayr-ee) sponsored the bill. He says it would encourage job creation and promote economic growth.