Tax Policy Update: The Emerging Fall Fiscal Cliff
By Jayne Fitzgerald, Robert Leonard, Jeffrey McMillen, Arshi Siddiqui, Matthew Thomas - Akin Gump.
If you read one thing...
Congress’ tax and budget challenges include funding the government for FY 2016 and a required federal debt ceiling increase to avoid catastrophic default on the nation’s debt. These legislative challenges echo the 2012-2013 “fiscal cliff” debate—only resolved through much time and difficult negotiations.
- Calendar deadlines to drive the fall tax and budget agenda: (1) September 30—expiration of governmental funding and funding for the Federal Aviation Administration; (2) October 29—expiration of the Federal Highway Program; (3) late fall-debt ceiling limit hit; and (4) December 31—tax extenders require extension.
- Looming over all these issues is the revenue question and whether offsets will be needed for a variety of policy initiatives or legislative compromises. In addition, significant tax issues will also be actively debated, including the possibility of international tax reform.