On January 9, 2023, NY #23's House Representative recorded one of his first legislative votes on the bill known as H.R.23 -- To rescind certain balances made available to the Internal Revenue Service.
The first bill of the Republican-led House would rescind funding passed in the Inflation Reduction Act (IRA) which would allow the Internal Revenue Service (IRS) to crack down on corporations and high-income earners who evade the taxes they already owe under the law. Republicans have claimed that the IRA funding would result in more IRS audits of middle class Americans, yet Treasury Secretary Janet Yellen has already directed the IRS not to increase the rate of audits on small businesses and households earning less than $400,000 per year. Another GOP claim is that the IRS would use the funding to hire 87,000 new agents, but in truth, the funding will largely cover vacancies and anticipated retirements in addition to improving the IRS's communications infrastructure. Far from being a cost-saving measure, the Congressional Budget Office (CBO) estimates that rescinding close to $80 billion in IRS funding would increase the federal deficit by $114.4 billion over the next ten years due to lost tax revenues.
Most of us don't look forward to tax time, but the IRA funding is not a threat to the average American. By contrast, it would help speed up refunds for those of us lucky enough to receive them and fund the government by collecting taxes wealthy corporations and individuals already owe.
H.R.23 doesn't really have a chance of going anywhere. The Democratic majority in the Senate is almost certain to quash the bill, and President Biden has already vowed to veto legislation if it gets to his desk. However, this bill sets up an upcoming fight over the debt ceiling, which the Republican House majority has threatened they will not raise (to cover spending already authorized by Congress) without significant spending cuts. To find those spending cuts, Republicans are likely to take aim at funding for government agencies, such as the EPA and Education Department; foreign aide, such as military and humanitarian aide to support Ukraine; and entitlement programs such as unemployment, welfare, Medicaid, Medicare, and Social Security.
Key Republican House leaders, such as Rep Steve Scalise (R-La), the number two House Republican; Rep. Jason Smith (R-Mo.), the current top Republican on the Budget Committee; and Rep. Buddy Carter (R-Ga.), who is running to chair the House Budget panel have all stated publicly that "everything is on the table," including cuts to Social Security and Medicare.
Commenti