It is not a new tax break, but one that may not have been on the average fiscal conservative's radar until recently. House Republicans are noting the motorsports loophole as one of many loopholes that they find unacceptable. A speech delivered by Darrell Issa, California republican, quotes House Ways and Means Committee chairman David Camp when he says "Rightfully so, [Camp] said, we also aren't simplifying the tax code and not making it better or fairer and not getting rid of the NASCAR loophole or the electric motor scooter low-speed loophole and not getting rid of a lot of tax things that are here."
Camp was one of 85 republicans who for the bill. Issa was one of 151 republicans who voted against the bill which included these extensions of loopholses and breaks considered "bad" by the Committee for a Responsible Federal Budget (CFRB). The CFRB is a "bipartisan, non-profit organization committed to educating the public about issues that have significant fiscal policy impact" according to the crfb.org website.
The passed bill reads:
4 SEC. 312. EXTENSION OF 7-YEAR RECOVERY PERIOD FOR
5 MOTORSPORTS ENTERTAINMENT COM-
6 PLEXES.
7 (a) IN GENERAL.—Subparagraph (D) of section
8 168(i)(15) is amended by striking ‘‘December 31, 2011’’ and
9 inserting ‘‘December 31, 2013’’.
10 (b) EFFECTIVE DATE.—The amendment made by this
11 section shall apply to property placed in service after De-
12 cember 31, 2011.
While it is estimated the section 312 breaks are worth about $70 million, the Congress' Joint Committee on Taxation estimates the total of special interest tax breaks to be worth about $67.9 billion for 2013.
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