Says House leadership to Senate: Not likely. Senate leaders are looking to attach a debt ceiling hike to the massive defense bill currently on the floor. But Democratic and GOP House leaders warn the plan will not easily pass in their chamber. House Democrats want to approve a debt limit increase before they go on a long recess scheduled to start at the end of this week.
How to improve the administration of the child credit. TPC’s Elaine Maag and the Niskanen Center’s Samuel Hammond suggest ways to better administer a fully refundable child tax credit. Their new brief proposes ways to implement a tax credit that closely resembles a child allowance.
Bob Dole has died. The former Kansas senator died yesterday at age 98. Dole chaired the Finance Committee from 1981-85, where he played a key role in passing many important tax bills, inluding President Reagan’s 1981 tax cut and a series of following tax hikes. One of the last influential fiscal hawks, he helped broker a landmark bipartisan compromise in 1983 to extend Social Security solvency. In the 1970s Dole and Sen. George McGovern worked together to expand the food stamp and school lunch programs and create the Special Supplemental Food Program for Women, Infants, and Children (WIC).
How are city leaders incorporating equity into revenue structures? In a new brief, TPC’s Aravind Boddupalli and Tracy Gordon and Bloomberg Philanthropies Lourdes German suggest ways cities can take racial equity into account when designing revenue-raising policies. They say federal, state, and county governments also can design intergovernmental grant and shared-revenue programs to prioritize equity.
Will Washington State delay its long-term care payroll tax? Gov. Jay Inslee and some state Democratic lawmakers are discussing the idea. A 0.58 percent payroll tax to fund a public long-term care insurance program, called Washington WA Cares, is scheduled to take effect Jan. 1 But lawmakers worry about provisions that would bar non-residents and some retirees from receiving benefits even if they pay the tax. A lawsuit makes many of the same claims. Senate Democratic leaders urged Inslee to delay the tax until 2023.
Eliminating Iowa’s personal income tax? With state a budget surplus nearing $2 billion, Republican lawmakers are exploring possibilities, including a five-year tax cut plan. State Senator Daniel Dawson says his ultimate goal is to eliminate the income tax. But key GOP lawmakers are skeptical and even supporters call the idea a “moon shot.”
For the latest tax news, subscribe to the Tax Policy Center’s Daily Deduction. Sign up here to have it delivered to your inbox weekdays at 8:00 am (Mondays only when Congress is in recess). We welcome tips on new research or other news. Email Renu Zaretsky at [email protected].
