AHLA Applauds Home Passage of Vital Tax Aid for Lodges

American Lodge & Lodging Affiliation President & CEO Chip Rogers launched the next assertion right now after the U.S. Home of Representatives handed the Tax Aid for American Households and Staff Act (H.R. 7024), which might briefly lengthen numerous tax provisions which might be crucial to the resort business.

“The Tax Aid for American Households and Staff Act would offer important financial assist to America’s accommodations, encouraging funding in each resort properties and staff,” mentioned AHLA President & CEO Chip Rogers. “We thank members of the Home for passing this necessary, bipartisan invoice. We encourage the Senate to rapidly get this laws to the president’s desk, and we look ahead to working with lawmakers to completely lengthen the invoice’s tax-relief measures.”

Background

The bipartisan Tax Aid for American Households and Staff Act (H.R. 7024) consists of a number of provisions that can profit hoteliers and resort staff. Under is what’s within the invoice, which now heads to the Senate for consideration.

• An extension of the 100% bonus depreciation by means of the top of 2025. Below present legislation, leasehold and different qualifying inside enhancements are eligible for bonus depreciation. In 2026, bonus depreciation would fall to twenty% and expire after 2026.
• A retroactive, four-year extension of the taxpayer-favorable earnings earlier than curiosity, taxes, depreciation, and amortization (EBITDA) customary for measuring the quantity of enterprise curiosity deductible beneath part 163(j).
• A provision accelerating the deadline to file claims for the Worker Retention Credit score (ERC) to January 31, 2024. With the potential closure of this system to new candidates, AHLA encourages any companies nonetheless contemplating making use of to take action rapidly.
• A Baby Tax Credit score enhancement.