Energy tax bill approved by House

A $57 billion energy tax bill approved on a 25-12 vote by the House Ways and Means Committee includes tax relief that would extend deductions for state and local taxes, and education expenses, as well as property tax deductions for non-itemizers and an expansion of the child tax credit for low-income taxpayers. The Energy and Tax Extenders Act may be taken up next week by the House of Representatives. “This bill would extend vital tax incentives for American businesses to help them invest in new technologies and remain competitive internationally,” Ways and Means chairman Charles Rangel, D-N.Y., said in a statement. The bill is aimed at reducing U.S. dependence on imported oil by encouraging the production and use of renewable energy through a six-year extension of the investment tax credit for solar energy. It also gives a three-year extension of the production tax credit for energy produced from renewable sources such as biomass and geothermal sources. And it gives a one-year extension of the production tax credit for energy derived from wind, and incentives to encourage energy-efficient products.