Published: February 20, 2023
Guest column submitted by US Senator Mike Crapo
I am honored to continue to serve the Idahoans as a Senior Member of the US Senate Treasury Committee of the 118th Congress. The Finance Committee has the broadest jurisdiction of any congressional committee, overseeing all tax policy and giving Idaho a central role in influencing the policies that shape our state’s economy. As we begin this Congress, the following are my fiscal priorities to boost a healthy economy.
- Encouraging Idahoans’ access to high-paying careers: As American workers and businesses continue to face crippling inflation and supply chain challenges, our tax system must foster careers, manufacturing, and higher wages for hard-working families. I will continue to work to maintain and build on Republican pro-growth tax policies to create a competitive environment for US businesses and ensure Americans have access to high-paying careers.
- Preserve growth-friendly tax reforms: In 2017, Congress passed sweeping, pro-growth tax reform for the first time in more than 30 years. After two years of democratic scrutiny, the Tax Cuts and Jobs Act (TCJA) remains intact, and with good reason. TCJA resulted in one of the strongest economies in generations: unemployment fell to a 50-year low, economic gains flowed to all demographics and income levels, and American companies reported record R&D investments. The lowering of the corporation tax rate combined with a significant broadening of the tax base led to record income from corporation tax.
- Hold the Internal Revenue Service (IRS) accountable: Finance Committee Republicans will exercise strong accountability to the US Treasury Department and the IRS. Partisan legislation, enacted in 2022, provided the IRS with an unprecedented stream of multi-year supplemental funding totaling nearly $80 billion. Given its taxpayer-centric mission, the IRS must wisely manage all monies it receives and ensure that taxpayers continue to see tremendous improvements in customer service – areas where the IRS has unfortunately underperformed over the past 3+ years, although he received billions in additional funds during the period. Finance Committee Republicans have introduced a bill to give Congress a direct say in how this new IRS money is used and give taxpayers real accountability.
- Protecting hard-working taxpayers: The IRS has a long and troubling history of overly expansive, poorly targeted, and stubborn enforcement. New funding should not be a stepping stone to new unnecessary (and unwanted) taxpayer burdens. Since most of the new IRS funding is earmarked for enforcement, more scrutiny—at every income level—is sure to follow. I reinstated laws to prevent the IRS from using its windfall to increase the scrutiny of hard-working families. I encourage my colleagues to join me in supporting this important law.
- Push for meaningful and measurable solutions: Taxpayers and tax practitioners continue to await important year-end guidance on numerous complex tax law changes. While some have received surprising grace periods, like those who would have faced increased coverage from third-party settlement networks, others simply don’t have the guidance they need, like those subject to the so-called “book” minimum tax or seeking such energy tax benefits. I urge the IRS and Treasury to expedite the delivery of these rules while carefully considering the comments they receive, including my colleagues and myself.
Given the challenging past two years, marked by trillions of dollars in new spending and programs, strong accountability of federal agencies in the committee’s purview will be critical. Idaho’s hard-working taxpayers deserve a responsive, transparent, and accountable federal government. I’m listening carefully to Idahoans as I work to deliver meaningful fiscal outcomes for the American people that will drive a healthier economy.
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