Quick summer sprint on Capitol Hill - Katherine Tully-McManus, Politico:
WORKING TOWARDS INDEPENDENCE — Congress has a jam-packed agenda this summer, with spending and policy fights simmering. But it’s a short week ahead of the lengthy July 4th recess. Here’s what to watch as lawmakers arrive for a short stint in Washington:
TAXES, TAXES, TAXES — Much of Republicans’ sweeping Trump-era tax breaks are set to expire in 2025 – meaning the stakes are high in the 2024 campaign, depending on the outcome. Depending on how next year’s elections go, Republicans can keep the cuts or Democrats can rewrite them — or, if neither party gets a clean sweep, a split government could put the nation on course for a massive fiscal collision.
Clean energy sector debates impact of GOP efforts to repeal tax credits - Rachel Frazin, The Hill:
Republican attacks on the Inflation Reduction Act’s clean energy tax credits may be negatively impacting the sector, some industry players and experts say.
They say the GOP’s efforts to eliminate the subsides risks creating uncertainty for investments — especially with potential financial backers nervously looking ahead to next year’s elections.
HILL TAX BRIEFING: IRS Funding Fight Looms, GOP Balances EV Credits - Chris Cioffi, Bloomberg Tax ($):
House appropriators are gearing up for a big debate as soon as this week over legislation that sets funding levels for agencies, including the IRS.
The House GOP’s proposal cuts discretionary spending to fiscal 2022 levels, roughly a $130 billion reduction. Lawmakers cut deepest into the Financial Services appropriations bill, reducing it by more than half below the enacted level. The bill funds the IRS as well as Treasury and General Services.
EPA Estimates Its Regs Would Cost Treasury Hundreds of Billions - Martin Sullivan, Tax Notes ($):
Regulation writers at Treasury can boost the revenue loss from electric vehicle tax credits by relaxing qualifications for those credits. Regulation writers at the Environmental Protection Agency can boost the revenue loss from those credits by effectively requiring automakers to make more EVs.
As part of a 600-page analysis published in April, the EPA estimated that its proposed greenhouse gas emission standards would substantially increase EV sales and increase the revenue loss of battery production and clean vehicle credits by more than $200 billion over the 2027-2032 period. That would be in addition to the costs of the credit under today’s rules without the proposed EPA regs.
10th Circ. Urged To Uphold IRS Bank Summonses In Probe - Anna Scott Farrell, Law360 Tax Authority ($). "The IRS did not violate a company's free-speech rights when it issued eight summonses to the business' banks during an investigation into whether the company promoted potentially abusive tax schemes, the government told the Tenth Circuit, asking it to uphold the agency's demands for account information."
It is National Ice Cream Soda Day and National Vanilla Milkshake Day, lots of ways to celebrate!
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