Signed by President Barack Obama II

Vote Smart's Synopsis:

Vote to concur with Senate amendments and pass a bill that extends the availability of federal emergency unemployment compensation, the homebuyer tax credit for first-time purchasers and certain homeowners, and the carry back period for net operating losses.

Highlights:

• Extends second-tier unemployment benefits and specifies everyone will be eligible to receive the lesser of the following (Sec. 2):
• 54 percent of the total amount of compensation, including benefits paid to dependents, as provided by existing state law during the benefit year; or
• 14 times the individual's average weekly benefit, including benefits paid to dependents, as provided by existing state law.

• Establishes third-tier unemployment benefits for states with unemployment rates of at least 6.5 percent for the last 3 months, for which an individual is eligible to receive the lesser of the following once second-tier benefits have been exhausted (Sec. 3):
• 50 percent of the total amount of regular compensation, including benefits paid to dependents, pas provided by existing state law during the benefit year; or
• 13 times the individual's average weekly benefit, including benefits paid to dependents, as provided by existing state law.

• Establishes fourth-tier unemployment benefits in states that have unemployment rates of at least 8.5 percent for the last 3 months, for which an individual is eligible to receive the lesser of the following once third-tier benefits have been exhausted (Sec. 4):
• 24 percent of the total amount of regular compensation, including benefits paid to dependents, as provided by existing state law during the benefit year; or
• 6 times the individual's average weekly benefit, including benefits paid to dependents,as provided by existing state law.

• Extends the 6.2 percent tax rate imposed by the Federal Unemployment Tax Act on the first $7,000 in wages paid by employers through June 31, 2011, at which point the tax is reduced to 6 percent, whereas existing law required the tax rate be reduced to 6 percent in 2010 (Sec. 10).

• Extends a homebuyer tax credit of 10 percent of the purchase price up to $8,000 for first-time purchasers who buy a principal residence before May 1, 2010, whereas existing law required the tax credit expire for homes purchased after December 1, 2009 (Sec. 11).

• Establishes a homebuyer tax credit of up to $6,500 for homeowners who file jointly and $3,250 for single homeowners who have lived in their principal residence for at least 5 consecutive years out of the past 8 years (Sec. 11).

• Prohibits a homebuyer tax credit for first time purchasers who buy a home that exceeds $800,000 (Sec. 11).

• Increases the income limitation for the homebuyer tax credit for homeowners living in their home for at least 5 years from $75,000 for singles and $150,000 for joint filers to $125,000 for singles and $225,000 for joint filers (Sec.11).

• Extends the homebuyer tax credit for members of the armed services who purchase a principal residence before May 1, 2011, whereas existing law repealed the credit on May 1, 2010, and specifies that any member of the armed services who is forced to sell that home within three years of the purchase for reasons of overseas deployment will not have to pay back the credit (Sec. 11).

• Extends the net operating loss deduction period from 2 years to 5 years, and includes net losses during the year of 2009 (Sec. 13).

• Limits the net operating deduction to 50 percent of an individual's taxable income, except for businesses with annual gross receipts of $15 million or less (Sec. 13).

• Prohibits businesses that receive benefits from the Troubled Asset Relief Program (TARP), including Fannie Mae and Freddie Mac, from being eligible to file for the 5-year carry back of net operating losses tax credit (Sec. 13).

Full Bill Text

Full Bill Text

Full Bill Text

Vote Smart's Synopsis:

Vote on a motion to invoke cloture on a motion to proceed with a bill that extends the availability of federal emergency unemployment compensation for up to 13 weeks for individuals residing in states with an unemployment rate of at least 8.5 percent for the past 3 months.

Highlights:

• Requires individual's to have exhausted all unemployment compensation available before accepting supplemental federal emergency unemployment compensation (Sec. 2).

• Specifies that recipients are eligible to receive the lesser of (Sec. 2):
• 50 percent of the total amount of compensation, including benefits paid to dependents, as provided by existing state law during the individual's benefit year; or
• 13 times the individual's average weekly benefit, including benefits paid to dependents, as provided by existing state law.

• Extends the 6.2 percent tax rate imposed by the Federal Unemployment Tax Act on the first $7,000 in wages paid by employers through June 31, 2011, at which point the tax is reduced to 6 percent, whereas existing law required the tax rate be reduced to 6 percent in 2010 (Sec. 3).

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that extends the availability of federal emergency unemployment compensation for up to 13 weeks for individuals residing in states with an unemployment rate of at least 8.5 percent for the past 3 months.

Highlights:

• Requires individual's to have exhausted all unemployment compensation available before accepting supplemental federal emergency unemployment compensation (Sec. 2).

• Specifies that recipients are eligible to receive the lesser of (Sec. 2):
• 50 percent of the total amount of compensation, including benefits paid to dependents, as provided by existing state law during the individual's benefit year; or
• 13 times the individual's average weekly benefit, including benefits paid to dependents, as provided by existing state law.

• Extends the 6.2 percent tax rate imposed by the Federal Unemployment Tax Act on the first $7,000 in wages paid by employers through June 31, 2011, at which point the tax is reduced to 6 percent, whereas existing law required the tax rate be reduced to 6 percent in 2010 (Sec. 3).

Full Bill Text

Full Bill Text