In a report released today, the IRS Oversight Board recommended that Congress increase the Internal Revenue Service's (IRS) FY 2010 budget by $363 million over what the Obama administration requested. The independent panel, which Congress created in 1998, cited the "IRS's archaic computer systems," a lack of adequate computer hardware and IT infrastructure, and the need for better taxpayer service programs as targets for the extra money. Unfortunately, the report comes a tad late.

As members of Congress trickle back from the July Fourth recess, senators will continue debating the FY 2010 Legislative Branch spending bill. Sen. Tom Coburn (R-OK) has offered an amendment to the bill that would require senators to disclose their official expenditures online in a publicly searchable format. Members of the House are already required to post their expenses online.

With the passage of the Waxman-Markey bill (HR 2454) in the House, the U.S. is one step closer towards the implementation of a major effort to reduce greenhouse gas emissions (GSGs).  Despite its inclusion of a cap-and-trade system, famed Harvard economist, Greg Mankiw, recently called the bill a "missed opportunity" because it gives away a significant number of very valuable pollution permits instead of using an auction system.

The Obama Administration continues to look for ways to find tax revenue and as a result, several significant tax breaks for multinational companies may be on the chopping block.  During the Bush and Clinton Administrations, it became easier for controlled foreign corporations (CFCs) to conduct financial transactions between offshore subsidiaries at much-lower effective tax rates (or in some cases, tax-free).  If Obama gets his wish, these tax breaks will not be renewed at the end of 2010 and the Joint Committee on Taxation estimates will result in an increase of $31-86.5 billion in tax revenue from 2011-2019.