Congressional Tax Writers, Trump Administration Considering Tax Relief Measures
Congressional tax writers and the Trump administration are considering various tax relief measures in response to the current global health emergency.
"While we continue to assess the economic impacts, [Senate Finance Committee] Chairman [Chuck] Grassley, [R-Iowa], is exploring the possibility of targeted tax relief measures that could provide a timely and effective response to the coronavirus," Grassley’s communications director Michael Zona said in a statement emailed to Wolters Kluwer on March 9. "Several options within the committee’s jurisdiction are being considered as we learn more about the effects on specific industries and the overall economy."
Likewise, Trump met with several advisors on March 9 to discuss various economic stimulus options. Last week, President Trump encouraged House Democrats to propose a payroll tax cut.
Further, National Economic Council Director Larry Kudlow said last Friday that he and Treasury Secretary Steven Mnuchin have been exploring various options. "Let’s think about small businesses that might get hurt by this," Kudlow said.
Additionally, Mnuchin is expected to meet with Republican lawmakers on Tuesday, March 10 to discuss tax-related options.
Generally, any tax relief measures that may occur as part of an economic stimulus initiative will come by way of congressional legislation or a presidential executive order. Some of the options reportedly being considered include:
- Industry-specific tax breaks,
- A one-year payroll tax cut, and
- Targeted paid sick leave.
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