Senate Passes Mortgage Debt Tax Bill
On December 16, 2014, the Senate passed H.R. 5771, the Tax Increase Prevention Act of 2014, by a vote of 76-16.
The bill includes a one-year extension of several expired tax provisions that benefit REALTORS and their clients, including tax relief for mortgage debt forgiveness. The relief is effective retroactive to January 1, 2014, but expires again on December 31, 2014. Also included in the bill are one-year retroactive extensions of the 15-year depreciation schedule for leasehold improvements, the deduction of mortgage insurance premiums, and the deduction for energy efficient commercial buildings.
The House passed the bill on December 3. It now goes to the President, who is expected to sign it into law.