Pompeo will meet with Mexican officials on tariffs. Secretary of State Mike Pompeo will meet with Mexican government officials tomorrow to discuss President Trump’s threats to  levy a 5 percent tariff on Mexican goods on June 10 if it does not halt all illegal immigration and drug smuggling.  

Trade battles take their toll. The Institute for Supply Management’s Purchasing Manager’s Index asks US manufacturers about  new orders, production, employment, supply, and inventories. The index fell by 0.7 percentage points to 52.1 percent last month, its lowest level since October 2016. Some manufacturers said that the increasing cost of  tariffs on Chinese goods would weigh heavily on their profit margins.

House Appropriations bill boosts IRS budget, federal worker pay. The draft bill approved  by the Financial Services and Government subcommittee would increase funding for IRS enforcement and give  federal workers a 3.1 percent raise.  

Study: Tax breaks are popular, even when wealthy people benefit the most. Writing for The Washington Post, Vivekinan Ashok and Gregory Huber that survey respondents favor expanding tax expenditures, even when higher-income households get most of the benefits.

Michigan taxpayers are behind on state tax bills, to the tune of $3.32 billion. The reason: unpaid business, withholding, and sales taxes. That $3.32 billion in delinquent taxes could fund a year of road construction. The Michigan Treasury is asking a second collections company  to go after unpaid tax debt. 

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