Will COVID-19 relief talks end differently this time? TPC’s Howard Gleckman thinks that “after so many false starts, a bill might...might... be in sight.” He explains that a deal likely would follow the outlines of the CARES Act passed this spring, probably extending unemployment benefits; providing additional relief for renters and those paying off student loans; assistance for state and local governments; funding another round of business loans and extending some of the CARES Act’s business and individual tax breaks. It might include some liability protections for firms faced with pandemic-related lawsuits. But will it include another round of stimulus checks?
GOP support grows for the plan. By late yesterday, at least five more GOP senators expressed varying degrees of support for a $908 billion bipartisan compromise relief plan. They include Joni Ernst, Chuck Grassley, Lindsey Graham, John Cornyn, and Kevin Cramer. Most supported the direction of the compromise without endorsing its exact outlines. Still, with the likely universal backing of Democrats, there soon could be enough Senate votes to pass the plan—if Majority Leader Mitch McConnell allows a floor vote.
Senate confirms Christopher Waller to Federal Reserve Board of Governors. Waller is currently the executive vice president of the Federal Reserve Bank of St. Louis. The Senate confirmed him by the narrowest margin—48-47. A second Trump nomination to the Fed, the far more controversial Judy Shelton, remains in limbo.
Poll: Most Americans support a tax hike on wealthy households. A New York Times/Survey Monkey poll of American adults found that two-thirds supported higher taxes on those making $400,000 or more and keeping tax rates at current levels for others. Backing the idea: 88 percent of Democrats, 70 percent of independents and 45 percent of Republicans.
Vermont may need to raise education property taxes by 9 percent this year. Education is funded by a combination of property, sales, and excise taxes. The projected tax increase results from a sharp decline in spending at local stores, restaurants and hotels, resulting in an estimated $40 million shortfall in sales and excise levies. The 9 percent education property tax increase would be the largest single-year increase in the last ten years. Gov. Phil Scott reportedly opposes a tax increase that big.
Next Tuesday, December 8: TPC previews President-elect Biden’s tax agenda. President-elect Joe Biden has proposed tax cuts for low- and moderate-income households and big tax increases on high-income individuals and corporations. Can a Biden administration accomplish these goals? How should it prioritize its efforts? TPC’s Howard Gleckman will talk with former Treasury Secretary Jack Lew, followed by a panel featuring former Chairman of the Council of Economic Advisers Jason Furman, former Congressional Budget Office Director Doug Holtz-Eakin, and Chye-Ching Huang, Senior Director of Economic Policy at the Center on Budget and Policy Priorities. TPC’s Tracy Gordon will moderate. Register here for the virtual event.
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