This afternoon, OMB Watch submitted a letter to all members of the House of Representatives, encouraging them to support the "Statutory Pay-As-You-Go Act of 2009" ("PAYGO").  Introduced by House Majority Leader, Rep. Steny Hoyer (D-MD), the bill is a crucial first step towards returning to a culture of responsible spending. 

The Center on Budget and Policy Priorities (CBPP), a non-profit fiscal policy institute, released a report yesterday questioning the accuracy of two recent reports from the American Family Business Foundation (AFBF) that claim repeal of the federal estate tax could create upward of 1 million jobs relatively cost free.

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.