"Shocking Budget Cuts & Surprise Nominations Unveiled! What They Mean for Your Wallet 🎯" Get ready for a whirlwind of change, as unexpected budget slashes and eyebrow-raising nominations could shake up your finances! Discover who’s in, who’s out, and how these shifts could impact your taxes. Are you prepared for what’s next in Washington? Click to stay ahead!

Happening on Capitol Hill: Late last week, the House Appropriations Committee approved the Fiscal Year 2025 Financial Services and General Government Appropriations Act with a 33 to 24 vote. This bill proposes a significant reduction in the IRS’s funding for fiscal year 2025, moving from $12.3 billion down to $10.1 billion, including a $2 billion cut specifically aimed at enforcement. Meanwhile, the Senate Finance Committee gave the green light to Rose E. Jenkins, Kashi Way, and Adam B. Landy for positions in the US Tax Court. Looking ahead, the same Senate panel is set to hold a hearing on social security disability benefits and work challenges tomorrow.

Extended NOL Deductions for Connecticut Corporates: Connecticut’s corporations received a favorable update as Democratic Governor Ned Lamont ratified amendments concerning net operating losses (NOLs). Companies can now carry forward deductions incurred from January 1, 2025, for an extended period of 30 years, a decade longer than the previous 20-year limit.

Kansas Reaches a Tax Cut Pact: In Kansas, Democratic Governor Laura Kelly and Republican lawmakers have come to an agreement on a tax cut package at the eleventh hour before this week’s special legislative session. The proposed plan intends to consolidate the state’s three income tax brackets into two, provide property tax relief, and eliminate taxes on Social Security income. The Legislature still needs to pass the plan, but Governor Kelly has expressed her intention to sign it into law once approved.

Upcoming Tax Hike for Maryland’s Smokers: Maryland’s smokers will soon face higher taxes as the state’s increased tobacco tax will take effect on July 1. This increase will add $1.25 per pack of cigarettes, atop the existing $3.75 tax per pack. Additionally, electronic smoking devices, including vaping liquids, will incur a 20 percent tax.

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