No Shutdown, But No Relief Deal

Taxes

The government will stay open until mid-December. The Senate passed and President Trump signed a continuing resolution to keep the federal government funded and open until December 11.

Still no coronavirus relief deal, talks continue. Treasury Secretary Steven Mnuchin made a counter offer of a $1.6 trillion in talks with House Speaker Nancy Pelosi over coronavirus relief package. That narrows the gap with the latest pared-down House bill of $2.2 trillion. Pelosi said she and  Mnuchin  found “areas where we are seeking further clarification” and their conversations will continue. But they reached no agreement yesterday. And Senate Majority Leader Mitch McConnell continued to throw cold water on the idea of a compromise, though he seemed to be drawing a line at $2 trillion. Talks will continue.

100 lawmakers to IRS: Issue stimulus payments directly to survivors of domestic violence. The bipartisan group of House members urged the IRS to send economic stimulus payments directly to survivors so their payments are not taken by their abusers They urged the IRS to develop a way for domestic violence survivors to tell the IRS that they have not yet received their payments. The IRS could issue payments directly to survivors.

TIGTA wants the IRS to target certain pass-throughs that report big losses. The Treasury Inspector General for Tax Administration wants the IRS to more aggressively target Schedule C filers who report no gross receipts but more than $100,000 in losses in a given year. But the IRS rejected the idea, saying that other targets are more fruitful. The cash-strapped agency frequently must choose its enforcement targets carefully. 

Tune in today at noon for The Prescription. This week TPC’s Howard Gleckman talks with Kim Clausing, (@KClausing), professor of Economics at Reed College and author of Open: The Progressive Case for Free Trade, Immigration, and Global Capital. They’ll discuss the pandemic’s influence on  corporate and international tax reforms and its effects on the US economy, the federal debt, and global trade and capital flows. You can register and watch here

For the latest tax news, subscribe to the Tax Policy Center’s Daily Deduction. Sign up here to have it delivered to your inbox weekdays at 8:00 am (Mondays only when Congress is in recess). We welcome tips on new research or other news. Email Renu Zaretsky at dailydeduction@taxpolicycenter.org.

Leave a Reply

Your email address will not be published. Required fields are marked *