government budget

WASHINGTON—Business owners are likely saving more than $10 billion annually in federal taxes through state laws that circumvent the $10,000 cap on state and local tax deductions, according to a Wall Street Journal analysis of state data.The state laws blunt the cap’s effect on owners of closely held businesses such as law firms, hedge funds, manufacturers and car dealerships, while workers earning wages generally can’t take advantage. The strategy, now available in 27 states, converts business owners’ personal income…

A federal pandemic aid program aimed at boosting small businesses’ access to capital is getting off the ground more than a year after it was authorized, when firms are now facing the headwinds of high inflation and the growing risks of an economic downturn.The Treasury Department this month began distributing nearly $200 million to five states through the State Small Business Credit Initiative, a $10 billion program that directs money to states, territories and tribal governments for programs that provide capital or…

The new U.K. “energy profits levy” shows how easily policy can be usurped by politics, bringing more unpredictability to the energy transition. The new U.K. “energy profits levy” shows how easily policy can be usurped by politics, bringing more unpredictability to the energy transition. FOLLOW US ON GOOGLE NEWS Read original article here Denial of responsibility! Techno Blender is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All…

WASHINGTON—U.S. inflation and economic growth are forecast to cool later this year and in 2023, the Congressional Budget Office said Wednesday, reflecting an economy in a moment of transition.The nonpartisan agency’s budget and economic projections came as the Federal Reserve has begun raising interest rates in an effort to combat inflation, actions that some economists and market observers believe are likely to bring an economic slowdown—and possibly a recession—in the U.S. The CBO forecasts are also likely to be…

Billionaire Robert Brockman is competent to stand trial for tax evasion, a federal judge ruled, finding that the Texas automotive-software mogul was exaggerating his symptoms of dementia in an effort to avoid prosecution and a potentially lengthy prison sentence.Mr. Brockman was indicted in October 2020 on charges that he used a web of offshore entities to evade taxes on about $2 billion in income. Prosecutors have called it the biggest tax-fraud case ever brought against an individual in U.S. history. Billionaire …

Americans reported the highest level of financial well-being last fall than at any point in almost a decade, according to a Federal Reserve survey, bolstering households ahead of growing economic uncertainty.The survey, conducted in October and November of last year and released Monday, is a sign that households entered 2022 in good shape, ahead of the disruptions caused by the Omicron wave of Covid-19 and the highest inflation in four decades. Americans reported the highest level of financial well-being last fall than…

WASHINGTON—Top U.S. officials who oversee the Internal Revenue Service are expressing growing dismay with a year-old D.C. mystery: how confidential information about the nation’s wealthiest and highest-income taxpayers—including Jeff Bezos and Elon Musk —became public.Extensive disclosures to news organization ProPublica made public the tax figures of many of the most well-known ultrawealthy Americans, showing their incomes, payments and tax strategies. There…

WASHINGTON—The IRS is preparing for an extended fight over a deduction created in the 2017 tax law that could put the government at odds with some of the largest U.S.-based multinational companies.The Internal Revenue Service is auditing the first batches of tax returns that include the deduction for foreign-derived intangible income (FDII), and the government earlier this month unveiled a legal argument that shows it is likely to contest many companies’ claims. In a memo to agency lawyers, Peter Blessing, the top…

WASHINGTON—Federal revenue almost doubled in April compared with a year earlier, reaching a record and driving a monthly government surplus of $308 billion, which Treasury officials said also set a record for the largest monthly surplus. Government revenue from taxes and other receipts for the month rose by 97% from a year earlier to $864 billion, not adjusting for calendar differences, the Treasury Department reported Wednesday. Federal outlays in April fell by 16% to $555 billion, the…

WASHINGTON—Americans can earn guaranteed 4% interest when money-market funds and savings accounts aren’t paying even half that. The catch: The IRS has to be sitting on your tax refund. That 4% rate for individuals took effect in April—up a percentage point from the prior quarter. The rate for large corporate refunds is 1.5%, up from 0.5%. Generally, the Internal Revenue Service has 45 days to process a tax return and pay a refund. After that, interest starts accruing in amounts tied to federal…