Policy Backgrounders

Tax Policy Updates

April 18, 2024

Trusted Insights for What’s Ahead™

With the annual tax filing season for individual and most corporate returns coming to an end this week, the Internal Revenue Service (IRS) pointed to customer service improvements. The IRS also announced new regulations governing the corporate stock repurchase excise tax. On another tax-related policy issue, the Senate has yet to vote on the Wyden-Smith tax bill with enhancements to the child tax credit and business deductions that passed the House with strong bipartisan support earlier this year.

• For the 2024 tax filing season, the IRS has touted improved customer service and new electronic tools resulting from additional Inflation Reduction Act resources, which led to the reduction of call wait times to three minutes, in-person support to an additional 170,000 taxpayers, and the ability for taxpayers to respond digitally to all tax correspondence from the IRS.
• The IRS also announced proposed regulations regarding the excise tax that was established by the Inflation Reduction Act (IRA) on stock repurchases by corporations.
• In Congress, the Senate has stalled on voting on the Wyden-Smith tax bill as Senator Mike Crapo (R-ID), Ranking Member of the Senate Finance Committee, and other Senate Republicans raise objections to the provisions in the bill.
• In a late bid to secure the votes for the Wyden-Smith tax bill, Senator Josh Hawley (R-MO) has suggested pairing the bill with his reauthorization and expansion of the Radiation Exposure Compensation Act (RECA) that compensates radiation victims.