Following three hours of debate in the Senate that began inearly Wednesday evening, the measure passed by a vote of 74 to 25.This bill mimicked, in many ways, the version the Houserejected in that it is based around a plan for thegovernment to buy up toxic debt from beleaguered financialinstitutions.

The Senate version, though, differs from the earlier measureconsidered by the House in that it includes several tax incentives.The end result is a price tag that will be higher than the originalfigure of $700 billion--but also a bill more likely to actuallypass.

The bill, for instance, extends several renewable energy taxbreaks for both individuals and businesses. It also extends otherexpiring tax breaks, including an R&D credit for businesses andthe deduction of state and local sales taxes on individuals'federal returns. It also provides another year of relief from themuch-hated Alternative Minimum Tax, which pushes many middle classtaxpayers into a higher tax bracket.

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Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.