SPRAYFOAM Professional - Spring 2016 - (Page 18)

LEGISLATIVE UPDATE THE BRIGHTUP WRITE-UP... BRINGING THE BELTWAY TO YOU BY CRAIG BRIGHTUP, THE BRIGHTUP GROUP LLC CONGRESS DELIVERS FOR 2015 AND BEYOND O n December 18, 2015, Congress passed a $1.15 trillion omnibus spending bill and $680 billion tax extenders package that the President signed into law. The "Consolidated Appropriations Act, 2016" funds the federal government through September 2016 and the "Protecting Americans from Tax Hikes Act of 2015" (PATH Act) extends over 50 tax breaks for businesses and individuals. Building energy-efficiency tax extenders in the PATH Act are the Residential Energy Efficiency Tax Credit (IRC Sec. 25C), the Energy Efficient New Home Tax Credit (45L) and Commercial Building Tax Deduction (179D). All have been extended retroactively from Jan. 1, 2015 through Dec. 31, 2016, with modifications to 25C and 179D. The 25C credit promotes energy efficiency by helping homeowners purchase better performing windows, doors, HVAC systems, hot water heaters, insulation, and roofing. In addition, it helps preserve and create jobs, with the National Association of Home Builders finding 278,610 full-time jobs were supported by 25C-related projects based on 2009 IRS data. The 10 percent tax credit up to $500 for qualified improvements has benefited manufacturers, distributors, contractors and consumers who are predominantly middle-class taxpayers. And, in a major breakthrough, all roofing products that meet Energy Star requirements are eligible for the 25C credit effective Jan. 1, 2016. The Energy-Efficient New Home Tax Credit (45L) provides a $2,000 tax credit for builders of homes that use 50 percent less energy for space heating and cooling, relative to chapter 4 of the 2006 International Energy Conservation Code (IECC), and a tax credit of $1,000 to manufacturers of ENERGY STAR-qualified manufactured homes. This performancebased tax credit has been successful in transforming the new homes market, as the number of homes eligible for the 45L tax credit rose to 11 percent of new homes sold in 2011 and continues its upward trajectory. The Commercial Building Tax Deduction (179D) has provided building owners with a deduction of $1.80 per square foot of floor area for buildings that achieve 50 percent annual energy savings beyond ASHRAE 90.1-2001, which has been updated to ASHRAE 90.1-2007 for 2016. The deduction is pro-rated for buildings unable to meet the 50 percent threshold to provide 60 cents per square foot for three subsystems (Lighting Property; Heating, Cooling, Ventilation and Hot Water Property, and; Building Envelope Property). Subsystem In a major breakthrough, all roofing products that meet Energy Star requirements are eligible for the 25C credit effective Jan. 1, 2016." 18 SPRAYFOAM PROFESSIONAL | Spring 2016 energy-savings targets are 25 percent for lighting, 15 percent for HVAC and 10 percent for the envelope. The PATH Act also makes permanent over 20 tax extenders including the Research and Experimentation credit; the $500,000 higher limit on property that can be expensed under Section 179 in the year placed in service; and the 15-year depreciation period for portions of buildings that are qualified leasehold improvements, qualified retail improvements, or qualified restaurant property. In addition, "bonus depreciation" that allows a business to take an additional deduction of 50 percent of the cost of qualifying property in the year in which it is put into service has been extended through 2019. o Craig Brightup is chief executive officer of The Brightup Group LLC, a government relations firm in Washington, D.C. He has provided services for 18 different organizations since 2009, including the U.S. Chamber of Commerce and National Roofing Contractors Association.

Table of Contents for the Digital Edition of SPRAYFOAM Professional - Spring 2016

EXECUTIVE DIRECTOR’S CORNER
PRESIDENT’S POST
FOAM BUSINESS NEWS
SPFA TODAY
LEGISLATIVE UPDATE
KEYNOTE SPEAKER – RICHARD R. RAWLINGS
OSHA STANDARD FOR CONFINED SPACES:
SUSTAINABLE CONSTRUCTION: TRANSPARENCY AND CHOICE
INDUSTRY’S CHALLENGES SHAPE OUR EVOLUTION
SPF RESEARCH ON AIR QUALITY – PART 2
NEW CONSTRUCTION NEEDS OPEN DOORS FOR SPF INDUSTRY
TOP TRUCKS FOR SPF CONTRACTORS
BEHIND THE FOAM
2015 SPFA CONTRACTOR AWARDS
SPEAKING SENSIBLY
ABAA NEWS
ASK THE EXPERT – How to Write Clear Contracts
UPCOMING EVENTS
INDEX OF ADVERTISERS | ADVERTISERS.COM

SPRAYFOAM Professional - Spring 2016

http://www.nxtbook.com/naylor/SPFQ/SPFQ0318
http://www.nxtbook.com/naylor/SPFQ/SPFQ0218
http://www.nxtbook.com/naylor/SPFQ/SPFQ0118
http://www.nxtbook.com/naylor/SPFQ/SPFQ0417
http://www.nxtbook.com/naylor/SPFQ/SPFQ0317
http://www.nxtbook.com/naylor/SPFQ/SPFQ0217
http://www.nxtbook.com/naylor/SPFQ/SPFQ0117
http://www.nxtbook.com/naylor/SPFQ/SPFQ0416
http://www.nxtbook.com/naylor/SPFQ/SPFQ0316
http://www.nxtbook.com/naylor/SPFQ/SPFQ0216
http://www.nxtbook.com/naylor/SPFQ/SPFQ0116
http://www.nxtbook.com/naylor/SPFQ/SPFQ0415
http://www.nxtbook.com/naylor/SPFQ/SPFQ0315
http://www.nxtbook.com/naylor/SPFQ/SPFQ0215
http://www.nxtbook.com/naylor/SPFQ/SPFQ0115
http://www.nxtbook.com/naylor/SPFQ/SPFQ0414
http://www.nxtbook.com/naylor/SPFQ/SPFQ0314
http://www.nxtbook.com/naylor/SPFQ/SPFQ0214
http://www.nxtbook.com/naylor/SPFQ/SPFQ0114
http://www.nxtbook.com/naylor/SPFQ/SPFQ0413
http://www.nxtbook.com/naylor/SPFQ/SPFQ0313
http://www.nxtbook.com/naylor/SPFQ/SPFQ0213
http://www.nxtbook.com/nxtbooks/naylor/SPFQ0113
http://www.nxtbook.com/nxtbooks/naylor/SPFQ0412
http://www.nxtbook.com/nxtbooks/naylor/SPFQ0312
http://www.nxtbook.com/nxtbooks/naylor/SPFQ0212
http://www.nxtbookMEDIA.com