President Trump imposes 25 percent tariffs on steel and aluminum imports. The president says the 25 percent tariff on steel and aluminum imports will help bolster US manufacturers. But Trump’s move has sparked global trade tensions that could further raise costs for consumers. The European Union and Canada have announced retaliatory tariffs on $28 billion worth of US products, including bourbon and motorcycles. European leaders emphasize they would prefer to negotiate but are prepared for a prolonged trade dispute. President Trump has vowed to respond to the EU’s latest actions and accused Ireland of using its tax policies to lure US companies away.
Senate Democrats want a shorter stop-gap funding bill. Senate Democrats say they won’t yet vote to advance the House-approved six-month funding package that would boost defense spending and cut non-defense programs. They first want a vote on a 30-day funding stopgap to give bipartisan negotiators more time to reach a deal on the annual appropriations bills.
Trump to meet with Senate Finance Committee on tax reform. President Trump is set to meet with Republican members of the Senate Finance Committee to discuss tax legislation. The meeting marks his first direct engagement with the committee since taking office in January. Trump supports the House’s approach of a single comprehensive bill, including tax cuts and funding for border security. Lawmakers are working to extend provisions from the 2017 Tax Cuts and Jobs Act before they expire in 2025.
Former IRS officials warn of consequences of staffing cuts. TaxNotes reports (paywall) that recent and upcoming IRS workforce reductions could slow refund processing, tax collection, and identity theft case resolution. Jeff Eppler, a retired IRS leader, warned that post-filing season operations will be severely impacted if more employees are terminated. The IRS has already cut over 7,000 compliance employees and faces further reductions under the Trump administration's directives. Identity theft case resolution, which now takes an average of 493 days, could worsen. Meanwhile, the agency’s return-to-office mandate has caused space shortages. Former officials argue that these disruptions could hinder IRS efficiency in the months ahead.
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