The tax extenders are a group of approximately 50 tax-reducing policies that expire regularly. Congress has traditionally extended them just as regularly as they expire. Late last year, Congress retroactively renewed them for 2014, which means they are currently expired.
A host of annual tax-reducing provisions expired on December 31, 2011. As it does each year, before restoring these policies, Congress is sure to argue about how to “pay for” extending these tax reducers, some of which have been the law as long as 30 years.
Republicans who are expected to control the House as of January want tax breaks for private equity, manufacturers and businesses. For their part, Democrats want to expand the child tax credit.