Congress strips special trade status from Russia. The House and Senate overwhelmingly approved legislation to strip Russia of its most-favored-nation trade status and a ban on Russian oil imports. The moves come in response to Russia’s invasion of Ukraine. President Biden is expected to sign both bills.
Does the US want to subsidize fossil fuels or alternative energy? Yes, says TPC’s Howard Gleckman. The result, “A head-spinning cacophony of tax-related energy policies. Is the goal to lower oil prices and increase consumption? Or is it to raise prices and lower consumption? Does government want to encourage oil companies to drill more and increase production? Or does it want to eliminate production tax subsidies in ways that risk further reducing output?
Alabamans age 65 and older will be able to exempt more retirement income from state income taxes. Gov. Kay Ivey will soon sign into law a bill that exempts from state income tax up to $6,000 in retirement income. The exemption applies to withdrawals from defined contribution plans such as 401(k)-type accounts and individual retirement accounts. Those claiming the full $6,000 exemption could save an estimated $240 in state income taxes.
Hawaii tax rebate plan gains steam. The House and Senate reached a tentative agreement on a bill to give Hawaiians earning less than $100,000 annually tax rebates worth $300. Those earning more than $100,000 could get rebates of $100. The rebates could reduce Hawaii revenues by about $250 million, which would come from the state’s $2 billion budget surplus.
Next Friday, April 15: Why is global tax reform important, and what can it achieve? The Brookings Hutchins Center on Fiscal & Monetary Policy and TPC co-host a virtual event to examine the significance of the two-pillar OECD/G-20 Base Erosion and Profit Shifting (BEPS) agreement. Learn more and register here for the morning event.
Save the date, April 25: What can the US learn from tax reform in developing countries? The Seventh Annual Don Lubick Symposium will be held in memory of the late top Treasury official, who helped emerging nations develop and improve their tax systems. Ambassador Stuart Eizenstat will speak about Don Lubick’s legacy and Phil West will discuss Mr. Lubick’s contributions to tax policy. A panel discussion with Mary Baine of the African Tax Administration Forum, Victoria Perry of Oxford University, and Artur Swistak of the International Monetary Fund will be moderated by TPC’s Howard Gleckman. Learn more and register for the virtual event here.
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