June 19, 2024

Political Commentary

News Politics Business Sports

Republicans have a tax-cheating fetish

2 min read

It’s not crazy for the new Republican House speaker, Mike Johnson, to insist that $14 billion in new aid for Israel be offset by cuts elsewhere in the government’s $6 trillion budget. The Congressional Budget Office (CBO) lists dozens of options for cutting federal spending or boosting revenue.

Johnson didn’t choose any of those. Instead, he mustered a bill, which the House passed with mostly Republican votes, to cut funding for the Internal Revenue Service (IRS) by the same $14.3 billion in aid the bill would provide to Israel.

It’s a cynical and self-defeating idea. Cutting the IRS budget doesn’t save money. It costs money, because with fewer resources the tax agency will have a harder time catching wealthy tax cheats who don’t pay what they owe. The CBO analyzed Johnson’s Israel bill and found cutting the IRS budget by $14.3 billion would reduce federal revenues by $26.8 billion, for a net cost to taxpayers of $12.5 billion. So Johnson wants to “pay for” $14.3 billion in aid for Israel with a gimmick that would nearly double the cost of the actual aid Israel gets.

The House bill has no chance of passing the Senate, which Democrats control. Democrats added funding for the IRS last year and they’re not about to renege on that. Even some Senate Republicans object to the House bill because it doesn’t include additional aid for Ukraine and Taiwan, which bipartisan majorities in both chambers support. So the House bill is nothing more than a symbolic statement of spinelessness by the Republicans who voted for it.

Speaker of the House Mike Johnson, R-La., joined at right by Republican Conference Chair Elise Stefanik, R-N.Y., talks with reporters ahead of the debate and vote on supplemental aid to Israel, at the Capitol in Washington, Thursday, Nov. 2, 2023. (AP Photo/J. Scott Applewhite)

Speaker of the House Mike Johnson, joined at right by Republican Conference Chair Elise Stefanik, talks with reporters ahead of the debate and vote on supplemental aid to Israel at the Capitol in Washington, Nov. 2, 2023. (J. Scott Applewhite/AP Photo) (ASSOCIATED PRESS)

But it’s worth examining the Republican endorsement of tax cheating, because it’s a zombie policy that’s brain-dead and ought to die, but won’t. For more than a…



2023-11-03 16:13:46

All news and articles are copyrighted to the respective authors and/or News Broadcasters. VIXC.Com is an independent Online News Aggregator


Read more from original source here…

Leave a Reply

Copyright © All rights reserved. | Newsphere by AF themes.