This week on Capitol Hill. The House Ways and Means Oversight Subcommittee will hold a hearing Thursday on the backlog of employee retention tax credits and the impact of fraud on those who are legitimately trying to claim the credit.
New Jersey sues New York over congestion pricing plan. New York will soon fine drivers who cross Manhattan’s central business district. New Jersey’s federal lawsuit against the U.S. Department of Transportation is seeking a more comprehensive environmental review of the new toll plan approved by the Federal Highway Administration last month. New Jersey E-ZPass passenger cars will cost $23 to enter certain areas of Manhattan during rush hours and $17 during off-peak hours, in addition to applicable fees. The congestion pricing plan will raise $1 billion annually.
Some New Jersey residents who work remotely will now receive a tax break. Democratic Gov. Phil Murphy signed a bill last week that creates an “employer convenience” test that allows New Jersey to tax non-residents who work for New Jersey-based companies. It also provides a tax credit for people who pay income or salary taxes in another state. The law comes in response to a New York state law for remote workers. New York counts remote work days for an employee’s convenience as days they work in their New York office.
More tax breaks in Virginia? Republican Gov. Glenn Youngkin is asking the Virginia General Assembly to pass tax breaks after the state ended fiscal year 2023 with a $5.1 billion surplus. The state Legislature approved a tax break for residents in 2022 with a divided General Assembly. All MPs holding a seat in the General Assembly will be up for re-election this November.
Today at 3:00 p.m.: Treasury and IRS seek public comment on improving taxpayer customer service. The Joint Committee on Taxpayer Advocacy Panel’s teleconference solicits public comments, ideas and suggestions for improving customer service.
The US Energy Association is hosting a virtual discussion on tax credit monetization under IRAs on Thursday at 2:30 p.m. The virtual discussion will include the Inflation Reduction Act’s new transfer and discretionary payment rules. Taxpayers may sell tax credits to other taxpayers under transfer provisions. The discussion includes proposed and temporary regulations regarding transferability. Learn more and register here.
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