On Feb. 13, the U.S. House of Representatives passed HR 636, America’s Small Business Tax Relief Act of 2015, which would revise Section 179 of the tax code to make the expanded expensing limits of certain depreciable assets permanent while adding HVAC equipment to the list for the first time. The bill has received significant industry support from Heating, Air-conditioning and Refrigeration Distributors International (HARDI) as well as ACCA, SMACNA (Sheet Metal and Air Conditioning Contractors’ National Association), AHRI (Air-Conditioning, Heating, and Refrigeration Institute), MCAA (Mechanical Contractors Association of America), and PHCC (Plumbing-Heating-Cooling Contractors Association) among others.
Yet, despite receiving bipartisan support in both chambers of Congress last year as well as support from the HVAC industry and small businesses, the bill must pass the Senate and overcome a veto threat from President Barack Obama.