Wisdom

On November 5, 2009, an unemployment insurance extension bill was approved by the House of Representatives that allows businesses with net operating losses (NOLs) for 2008 or 2009 to carry those losses back for up to five years. The bill also extends and modifies the first-time homebuyer credit that was established by the American Recovery and Reinvestment Act of 2009. The Senate earlier this week approved The Worker, Homeownership, and Business Assistance Act of 2009, and the bill now heads to the White House; President Obama is expected to sign it into law. The bill includes revenue offsets including a delay in the effective date of the worldwide interest allocation election, an increase in the corporate estimated tax payments for certain large taxpayers, and an increase in the penalty for failure to file a partnership or S corporation return, among other provisions.