Congress heads to home districts after averting shutdown
Congress agrees to fund the federal government through Dec. 20. Before leaving Washington through Election Day, the House and Senate passed a narrowly focused stopgap funding bill that will keep the federal government running, largely at current spending levels, for nearly three months. President Biden will sign the measure before the current funding expires Oct. 1. The Congress will return in the week of November 11.1.
Sens. Shaheen & Baldwin propose permanent enhanced tax credits for premiums. Sens. Jeanne Shaheen and Tammy Baldwin (DWI) introduced the Health Care Affordability Act in order to make permanentthe expansion of premium tax credit (PTCs). The Affordable Care Act created PTCs for Health Insurance Marketplace coverage. They were then temporarily expanded by the American Rescue Plan, and the Inflation Reduction Act. The enhanced credits increased credit value for people with incomes between 100 and 400% of the federal poverty line (FPL). They increased eligibility to include those with incomes above 400 percent FPL. These enhancements expire in 2025. Measure ULAF
is a real estate transfer tax that ranges between 4 and 5.5 percent for properties selling for more than $5.15million. It went into effect on April 20, 2023. The Los Angeles Office of Finance estimates that since then about 46 percent of Measure ULA revenues have come from the sale of single-family homes. At an event held this week, Rep. Trey Lamar of the Republican House Ways and Means Committee of Mississippi said that the 2025 legislative session would be the best time to begin the process of phasing out income tax. Jeremy England, Republican State Senator and Chair of the Senate Finance Committee in Mississippi, said that “baby steps” may be necessary to ensure funds are available for vital state services. Sen. Josh Harkins recommended that we take time to review the results of tax cuts passed by the state in 2022 and 2016 before making any decisions. Opponents of the measure claimed that a $1001010tax bill on a $200,000 house would have increased by $230. The Congress is not in session.The Daily Deduction will post Mondays and resume its regular schedule on November 11. For the latest tax news, subscribe to the Tax Policy Center’s Daily Deduction.
Congress is not in session.The Daily Deduction will post Mondays and resume its regular schedule on November 11. 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 any tips about new research or news. Email Renu Zaretsky.
