New tax cuts are a focal point of Republicans’ pitch to voters heading into the midterms, nowhere more so than in Nevada, where Trump first pitched no-tax-on-tips in 2024. But there are signs economic headwinds are blunting the impact of the tax relief. www.bloomberg.com/news/feature...

Happy Tax Day! Average refunds are up compared to last year, thanks to last year's GOP tax law. But there are signs that some taxpayers have missed the memo. Interesting polling from Bipartisan Policy Center that could have midterm implications. Free link: www.bloomberg.com/news/article...

The IRS has an early present for Santa: tax deductible tips. The agency's final rule on jobs that qualify for Trump's tips tax break has some fun nuggets, including clarity for Santa and celebrity impersonators, horse groomers and the clergy. Free link: bit.ly/4cBOdU4

Corporate tax revenues tumbled following the GOP tax law. I dug through filings and earnings calls of the 50 biggest US-listed companies to figure out where those tax savings went. Nearly a dozen credited the law for a drop in their 2025 taxes with some paying billions less than the year before.

With the threat of the government shutdown rising, a lapse in funding would undercut the IRS during an already challenging filing season, thanks to leadership turnover, staff cuts and new tax breaks. Here's what that would mean for taxpayers (gift link): www.bloomberg.com/news/article...

NEW: The Treasury Department is preparing to release a corporate tax workaround that would deliver big tax savings to companies including Salesforce and Qualcomm. The change would let companies deduct old R&D investments without triggering the 15% corporate minimum tax. Gift link:

Small business owners and workers, who make up nearly half Obamacare enrollment, will be hit hard when enhanced subsidies expire in Jan. I spoke to a few owners who are facing tough decisions about what do when their health care costs skyrocket next year. Free link: www.bloomberg.com/news/article...

Last week the White House acted on its threats to eliminate the CDFI Fund, laying off its entire staff. But CDFIs have strong bipartisan backing, and at least one GOP senator is fighting back. Read @emilyflitter.bsky.social and @caitlinreilly.bsky.social: www.bloomberg.com/news/article...

I dug into @kff.org data on the expiring health care subsidies at the center of the shutdown fight and found their expiration would most affect residents in GOP states and districts, which could have implications for next year's midterm elections. Free story here: www.bloomberg.com/news/article...

Tune into this conversation with my Bloomberg News colleagues Nathan Hager, @caitlinreilly.bsky.social and @steventdennis.bsky.social and me as we dive into the impacts of the government shutdown. Link below 👇

A deeper look at how the Trump administration is targeting liberal groups, with @caitlinreilly.bsky.social and @simonefoxman.bsky.social: www.bloomberg.com/news/article...

News: Hours after we published, Treasury shared a statement saying upcoming formal guidance would exclude tips connected to "illegal activity, prostitution or pornography" from the tax break. The department did not respond to an earlier request for comment. I guess tax is not sexy after all.

This is definitely the first time I’ve interviewed a dominatrix for a story. But OnlyFans creators and others in the digital content creation space could be big winners in the rollout of Trump’s no-tax-on-tips. Who says tax isn’t sexy? Free link: www.bloomberg.com/news/article...

Medicare cuts in play as Senate GOP hones budget bill. (@jessiehellmann.bsky.social @sandhyawrites.bsky.social @caitlinreilly.bsky.social Roll Call) rollcall.com/2025/06/05/m...

Full story on CQ: plus.cq.com/doc/news-81694…

Scoop: As House GOP huddled with Trump on reconciliation today, Senate Budget Rs quietly met to hammer out their budget blueprint, aiming for a Wednesday markup. The tentative plan includes $175B for border, $150B for defense and $17B for the Coast Guard over 4 years, fully offset.

Senate Majority Leader Thune was noncommittal when asked about reports that House and Senate leadership agreed to a one-bill reconciliation strategy. “Well, I think that discussion is always predicated on what we can get done,” he said.

Finance ranking member @wyden.senate.gov, D-Ore., seemed to indicate following the markup Democrats are in no rush to strike a deal with Republicans that would speed up Bessent's confirmation on the floor. “Every day seems to yield some additional questions,” Wyden said.

The Senate Finance Committee voted 16-11 to approve Scott Bessent’s nomination to be Treasury secretary, clearing the way for floor consideration. Democratic Sens. Mark Warner of Virginia and Maggie Hassan of New Hampshire voted to advance the nomination.

Governors Tate Reeves, R-Miss., Glenn Youngkin, R-Va., Brian Kemp, R-Ga., Ned Lamont, D-Conn., Ron DeSantis, R-Fla., and Mike Braun, R-Ind., are down here too, as is former GOP Arizona senate and gubernatorial candidate Kari Lake. House and Senate spouses are also seated in the overflow space.

Here’s who we’ve spotted in the inauguration overflow viewing space in the Capitol Visitor Center so far: Scale AI CEO Alexandr Wang Open AI CEO Sam Altman MMA fighter Conor McGregor Influencers Logan & Jake Paul Podcaster Theo Von NY Mayor Eric Adams Former race car driver Danica Patrick

House Republicans are examining hundreds of policy options across 11 committees for possible inclusion in their one-bill reconciliation package, according to a document compiled by the House Budget Committee. Full story here: plus.cq.com/doc/news-815...

So it’s less clear whether it survives past this year. Bessent only committed to this filing season, which starts in a few weeks, and said he would review the program after that. It’s an uphill battle beyond that because Republicans (and tax prep software providers) are pretty dug in against it.

Sen. Cassidy, R-La., asked Bessent whether he would support imposing trade duties on carbon-intensive imports, a concept that in theory could find some support among Dems. Bessent called it an “interesting idea” that could fit within a broader tariff program.

A little news from this hearing: Bessent commits that the IRS Direct File program allowing taxpayers to file directly online with the IRS, a target of GOP attacks, will be available and operable this tax season.

Ranking Dem @wyden.senate.gov painted Bessent’s handling of his taxes as emblematic of a system with one set of rules for the rich and another for the working class. “This is exactly the kind of abusive scheme that leaves Americans feeling disgusted with the tax code,” he said.

Scott Bessent, Trump’s Treasury nom, is appearing before Senate Finance this morning. Chair Mike Crapo, R-Idaho, opened the hearing, saying Bessent had cooperated with the committee on its “exacting” vetting process. “It’s clear you followed all applicable law,” Crapo said.

Now in front of the paywall: rollcall.com/2025/01/15/d...

NEW: Senate Democrats are gearing up for a fight against Scott Bessent, President-elect Donald Trump’s nominee for Treasury secretary, with questions about his fitness to hold the office based on a review of his tax returns. He's due before the Finance Committee tomorrow. plus.cq.com/doc/news-815...

Anecdote courtesy of Roll Call reporters—@jimsaksa.com and me! rollcall.com/2023/10/04/p...

It's likely to get overshadowed with all the shutdown/CR news, but the Senate just voted 76-20 to expand Social Security benefits for about 3 million retirees who worked for state or local governments. The House passed the bill last month, and it now heads to the president's desk.

New: House Budget Chair Jodey Arrington said he'd be open to raising or suspending the debt ceiling, which will be reinstated early next year, through reconciliation, if it's paired with spending cuts and fiscal reforms. That could allow the GOP to handle the debt ceiling on a party-line vote.

A popular House-passed bill that would provide tax relief to victims of natural disasters remains stuck in the Senate, as Democratic leadership weighs various pathways forward, sources said. plus.cq.com/doc/news-811...

Update: They went with Rep. Schneider rollcall.com/2024/11/20/n...

The center-left New Dems caucus is set to pick a new chair this week. I chatted with candidates Reps. Schneider and Davids about lessons-learned from the election and plans for next year. rollcall.com/2024/11/19/n...

The House this week:

Happy Halloween from the World’s Fastest Bank Run! 🎃🏃‍♀️ 🏃‍♀️💸 xoxo, Silicon Valley Bank & Signature Bank of New York

Consult the augurs.

Majority Leader Schumer says Senate has reached a deal that will allow the chamber to start voting on the spending "minibus." It includes about 40 amendments. Amendment votes could start tomorrow morning, he said. w/ @valerieyurk.bsky.social 🔓: plus.cq.com/doc/news-786...

Once again, this profile we wrote is extremely relevant to breaking news events, so give it a read rollcall.com/2023/10/04/p...

Another day, another hangup for the Senate's stalled spending minibus. This time over an amendment from Sen. Cramer, R-N.D., that would stop DOT from requiring state and local transportation authorities to set emissions targets. w/ @valerieyurk.bsky.social 🔒: plus.cq.com/doc/news-78593…

Welcome to make it up as we go along season. A refresher from last week. rollcall.com/2023/10/12/h...

With all this talk about Patrick McHenry as a caretaker speaker, time again for you to read this profile @caitlinreilly.bsky.social and I wrote! rollcall.com/2023/10/04/p...

teamed up with @saksappeal.bsky.social for a look at Congressman McHenry’s path to speaker pro tempore, including his reputation among Financial Services Dems. rollcall.com/2023/10/04/p...

I wrote about how this Ozymandias ass speakership went down 9 months after it began rollcall.com/2023/10/03/h...

I wrote a quick profile of Patrick McHenry with Caitlin, focusing on his evolution from GOP attack dog to respected lawmaker liked by Dems to now the guy who kinda holds the fate of the House in his hands rollcall.com/2023/10/04/p...