Small Business Tax Break Bill Passes Congress President Vows To Veto On Deficit Concerns

WASHINGTON -- The House of Representatives has voted to make tax breaks for small businesses permanent. The tax incentives package, which expired at the start of the year, was part of a larger bill that included more than 50 temporary tax reductions, which Congress has consistently extended.

The bill (H.R. 636), known as America's Small Business Tax Relief Act of 2015, would allow businesses to write off capital expenses up to $500,000 instead of taking multiyear deductions.

The bill's sponsors, Pat Tiberi (R-OH) and Ron Kind (D-WI), said that making the law permanent would create stability for small businesses, and that would eventually lead to economic growth.

However, President Obama has threatened to veto the bill unless lawmakers can find other tax breaks to eliminate. According to the White House, making the small business tax break permanent would add at least $79 billion to the budget deficit over the next decade.