[Congressional Record Volume 142, Number 26 (Thursday, February 29, 1996)]
[Extensions of Remarks]
[Pages E263-E264]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                EXPIRING TAX PROVISIONS MUST BE RENEWED

                                 ______


                         HON. NANCY L. JOHNSON

                             of connecticut

                    in the house of representatives

                      Thursday, February 29, 1996

  Mrs. JOHNSON of Connecticut. Mr. Speaker, my Ways and Means 
colleague, Bob Matsui, and I today have introduced a bill to extend the 
lives of several important tax provisions that expired last year.
  We have done this to encourage support for prompt consideration and 
expeditious enactment of tax provisions affecting research and 
development, orphan drugs, and employer-provided educational expenses, 
among others. If tax payers are to meet their obligations by April 15, 
it is imperative that we act quickly to reinstate these effective 
programs.
  Extension of the so-called expiring provisions was included in the 
Balanced Budget Act of 1995, legislation that was vetoed for reasons 
unrelated to these specific tax items. We believe that these targeted 
tax provisions serve a critical role in enhancing economic growth and 
long-term job creation. Just as importantly, various loophole closers 
were identified in the Balanced Budget Act to pay for these extensions.

[[Page E264]]

  In addition to the narrow tax credits for R&D, orphan drug research, 
nonconventional fuels research, and work opportunities for 
disadvantaged citizens, we call attention to the importance of 
continued favorable tax treatment for employer-provided educational 
expenses. This popular, low-cost inducement for working people to 
enhance their educational credentials and move up the economic ladder 
has now been moribund since December 31, 1994, causing many program 
beneficiaries considerable inconvenience as tax time approaches.
  The measure also restores reasonable incentives for taxpayers to make 
gifts of publicly traded stock to charitable institutions, a 
particularly worthwhile mechanism at a time of great need for 
charitable giving. The bill also extends section 120 benefits regarding 
group legal services and makes permanent the FUTA exemption for alien 
agricultural workers.
  The importance of these expired tax provisions to various segments of 
taxpayers--from folks suffering from rare diseases to landfill owners 
wishing to create clean-burning energy from their property--cannot be 
understated and we urge our colleagues to give them the priority they 
deserve.

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