By Jay Heflin - 07/30/10 01:14 AM EDT
The House Rules Committee will meet after the last round of votes on Thursday evening to discuss the fate of legislation whose action has been pushed to Friday.
Part of that discussion could be on legislation that raises taxes on U.S. multinational companies by billions of dollars to extend Build America Bonds and other programs that underwrite state and local infrastructure projects.
House Ways and Means Chairman Sandy Levin (D-Mich.) is the bill's chief sponsor.
Aside from extending the Build America Bonds program, the legislation resuscitates new market tax credits and Recovery Zone Bonds that create incentives for improvements in infrastructure. It also extends emergency assistance to programs like Temporary Assistance for Needy Families, which is slated to expire Sept. 30.
The bill is paid for in large part by closing roughly $11 billion in foreign tax credits.
The original intent of these credits was to ensure that U.S. multinational companies did not suffer double taxation. But earlier today Levin said these tax breaks have been abused by companies that use them to offset unrelated foreign income to avoid paying U.S. taxes.
Many of these tax increases in the bill were a part of the so-called tax extender bill that passed the House before the July 4 recess, but failed to advance in the Senate.
Rules will also discuss the fate of legislation by Rep; Joseph Crowley (D-N.Y.) that encourages foreign investment in U.S. real estate by doubling the amount of foreign capital that can be invested in publicly-traded Real Estate Investment Trusts (REITs).
Crowley has long argued that his proposal will open revenue streams to real estate investments that continue to suffer in the current economic climate.
Earlier today, few Republicans were expected to oppose this bill. A large swath of Republicans were expected to oppose Levin's bill, largely because of the tax increase on U.S. multinationals and the belief that the legislation would only grow government jobs, not ones in the private sector.