Due this week on the Hill: A vote on Tax Cut 2.0. House Ways & Means Chair Kevin Brady released the Republicans' tax cut bills yesterday evening, with the panel set to consider them on Thursday. Will the House ultimately get 216 votes to pass it out of the chamber? Said KPMG’s John Gimigliano, who heads federal tax legislative and regulatory services, to Reuters: ”Adding another several hundred billion dollars to the deficit is something that I think some Republicans are going to really think hard about.”
On the Senate floor: A vote on the IRS Commissioner. The Senate returns tomorrow and will vote on the nomination of Charles Rettig to serve as IRS Commissioner.
Also on the Hill: A vote to kill the “Cadillac tax.” The House plans to vote on legislation that would delay a tax on high-cost healthcare plans enacted under the Affordable Care Act. The measures would also retroactively repeal the employer mandate penalty and get rid of the mandate’s 30-hour workweek rule, reports Tax Notes.
GILTI: Cleared by OMB. Tax Notes reports that the Office of Management and Budget has cleared rules for Global Intangible Low-Taxed Income. GILTI rules are a key part of international taxation changes enacted under the Tax Cuts and Jobs Act.
Ford explains why it can’t relocate manufacturing to the US. Over the weekend, President Trump asserting by tweet that Ford Motor Co. can now build one of its models in the US due to US tariffs on China. Ford was compelled to defend its reason for not building the car in the US. Namely: Math. “It would not be profitable to build the Focus Active in the US given an expected annual sales volume of fewer than 50,000 units.”
Survey: There’s support for a carbon tax. The Climate Leadership Council conducted a survey of American voters and finds that 56 percent of those surveyed support its proposal for taxing carbon dioxide emissions. The plan seems to have bipartisan support, with 55 percent of Republicans and 58 percent of Democrats expressing approval. “This shows that the Baker-Schultz carbon dividend plan is the most popular, ambitious and — most of all — politically viable plan to solve climate change,” said council CEO Ted Halstead.
If you’d like to tell us about a new research paper or have any comments about the Daily Deduction, TPC’s summary of the day’s tax news, write Renu Zaretsky at [email protected]. You can sign up here to receive the Daily Deduction as an email newsletter every weekday morning (Mondays only when Congress is in recess) at 8:00 am.
