[ad_1]
Negotiations over spending continue, slowly, in the Senate and House. Progress continues, but disagreements remain. Finalizing full-year appropriations will take weeks of negotiation, and the first four bills must be voted on next week to meet the first deadline of Jan. 19. A stopgap bill that funds the government through March 1 looks increasingly necessary.
There’s still hope for a tax package, too. Senate Finance Committee Chairman Ron Wyden (D-OR) told reporters that negotiations are in advanced stages over a plan to expand the child tax credit and restore expired business tax provisions. TaxNotes reports (paywall) that negotiators haven’t agreed on offsets, as work continues toward a bipartisan agreement.
Good news for Coloradans on TABOR refunds and property tax deferrals. Sen. Michael Bennet (D-CO) confirmed that 2024 refunds mandated by the state’s Taxpayer Bill of Rights (TABOR) will not be subject to federal income tax, after a meeting he had with the IRS and Democratic Gov. Jared Polis. A property tax deferral program, previously targeted toward older state residents and military personnel, will now be available to all homeowners in Colorado. For older adults and the military, the total amount owed will be deferred; for others, up to $10,000 in property taxes can be deferred.
Will Maryland residents see tax increases? The state faces a budget shortfall, and state lawmakers might need to consider tax increases or new fees. Proposals—no bills have been filed—include a clean air toll paid by drivers, a hazardous substance fee paid by transporters, a pollution fee added to vehicle registration fees, and a “millionaires’ tax.”
A lower tax on hybrid vehicles in India. The Indian government, in response to demands from Japanese automakers, is backing lower taxes on hybrid vehicles to ease the transition to cleaner energy sources, reports Reuters. Currently, combined taxes on hybrid vehicle sales can reach 43 percent of the sales price. Taxes can equal 50 percent for petrol and diesel cars, while electric vehicles face a 5 percent tax.
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 [email protected].
[ad_2]
Source link
