Sen. Manchin on infrastructure: Everything should be paid for. The West Virginia Democrat told reporters that “we’ve put enough free money out.” He won’t publicly commit to a top line number for an “inevitable” Democratic-only bill to complement a traditional infrastructure-only measure but said he’d vote for something between $1 trillion and $2 trillion. Manchin’s demand that the bills are fully paid for may prove a difficult goal. Depending on what he means by paid for.
Bipartisan infrastructure bill this week? The group of now-22 senators wants to hammer out a final agreement by Friday, participants say. But adding members isn’t making a deal any easier. The sticking point: How to pay for it. The public version that won buy-in from President Biden last month included a list of accounting gimmicks but few tax increases or spending cuts.
Senate Democrats near a top line for their budget resolution. The Democrats-only social spending bill needs to ride on a budget reconciliation bill. But that needs a budget resolution, which requires a top-line fiscal target, which Democrats have been struggling to agree on. They too hope to nail down a number this week.
The US Senate may have to approve any new global minimum tax. Grace Perez-Navarro, the deputy tax director at the OECD told a TPC conference yesterday that the US would need to make “some normal legislative changes” to adopt the minimum levy. That could mean a bumpy road if it requires Senate approval for a multilateral tax treaty.
Yellen to Ireland: A 15 percent global minimum corporate tax rate would not upend your economic model. Treasury Secretary Janet Yellen said a 15 percent minimum tax would still leave a large gap between its rate and the US rate of 21 percent. Ireland’s finance minister Paschal Donohoe said his meeting with Yellen was positive and said he would continue to engage in the process.
In Georgia, June tax revenues increased by 29 percent compared to last year. Last month, net tax collections were $2.5 billion, up from $1.94 billion a year ago. For the fiscal year ending June 30, net tax collections totaled almost $26.90 billion, up 13.5 percent from last fiscal year.
Maryland has been miscalculating property tax credits, refunds are due. The state has been incorrectly subtracting other tax credits before calculating Maryland’s Homeowners Property Tax Credit. That credit limits property taxes based on a homeowner’s income. Because of the error, not everybody had been receiving the full credit.
And Airbnb hosts owe taxes in a Florida county. In April, Escambia County’s Tourism Development Tax (TDT) rate increased from 4 percent to 5 percent. But Airbnb’s software didn’t update in time, leaving hundreds of hosts inadvertently delinquent on their TDTs. The county is working with the owners, who often assumed that Airbnb was paying the county tax on their behalf, like it does for a different state tax.
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