Taxation and financial services Week to come | Brownstein Hyatt Farber Schreck



The House and Senate met again on Monday at noon and 3 p.m., respectively.


Democrats are said to be on the verge of reaching a deal on the Build Back Better Act, the legislative vehicle for advancing much of President Biden’s social infrastructure agenda. President Biden provided an update on the negotiations last week at a televised town hall, where he outlined the status of some key sticking points:

  • He expects the corporate tax rate to remain at 21%, although that is still under negotiation.
  • He left the door open to a possible minimum corporate tax rate.
  • He said paid time off would likely be reduced from 12 weeks to four.
  • He opposed the work requirements for the child tax credit.
President Biden appeared optimistic about reaching a deal and set this week as another unofficial deadline to reach a deal with lawmakers like Senators Joe Manchin (D-WV) and Kyrsten Sinema (D- AZ), who continue to engage with the White House and other congressional leaders.

Sinema, for example, spoke with House Ways and Means Committee Chairman Richard Neal (D-MA) last week about the fiscal components of the deal. Sinema reportedly agreed that “each of the four income categories proposed by President Biden – international, domestic business, high net worth individuals and tax enforcement – provide sufficient income to fully pay for a budget reconciliation program within the range currently underway.” discussion ”. During their discussion, it became clear, according to Neal’s office, that Neal and Sinema are “in complete agreement on making the policy happen, and she’s on renewables, she’s on credit for children and she is on family medical leave. ”Disagreement persists, however, over paid time off, Medicare expansion, prescription drug pricing and the climate.

Manchin also continued the talks, meeting with President Biden in Delaware this weekend.

On Sunday news broadcasts, President Nancy Pelosi (D-CA) signaled that international taxes, the “billionaire tax” and Internal Revenue Service enforcement could be part of the final package now that increases in rates were no longer considered. Senate Finance Committee Chairman Ron Wyden (D-OR) is also expected to unveil his mark-to-market proposal this week, which would tax the unrealized gains of wealthy taxpayers.

Going forward, Pelosi suggested that the Senate could release its proposal today. She hopes for an agreement on the Build Back Better Act and the passage of the Infrastructure Investment and Jobs Act this week. However, details remain fluid as the package continues to be negotiated.

On the floor

The House will vote on two bills on financial services: the Sovereign Debt Contract Capacity Act (HR4111), which would require the US executive director at the International Monetary Fund to advocate for him to provide technical assistance to members seeking to build their capacity. to assess the financial conditions and conditions of sovereign debt contracts, and the Financial Exploitation Prevent Act (HR2265), which would postpone the payment date for certain securities in the event of financial exploitation of certain adults.

The Senate will vote on several candidates for district judges.

In committee

Senate Banking Commission

On Tuesday, the Committee of the Whole will hold a confirmation hearing to consider the following candidates:

  • Reta Jo Lewis will be President of the Export Import Bank
  • Elizabeth de Leon Bhargava becomes Deputy Secretary for Housing and Urban Development
  • Rohit Chopra, Director, Consumer Financial Protection Bureau
The CFPB released its semi-annual report to Congress on October 8, covering the period between October 1, 2020 and March 31, 2021. Although Rohit Chopra will testify before the committee, he has not been confirmed to lead the agency during of this period. time. Either way, he will likely be faced with questions on topics covered in the report, such as the CFPB’s response to the COVID-19 pandemic and its effects on consumer credit, the rules and ordinances adopted. by the agency and consumer complaints, among others.

House Financial Services Committee

On Tuesday, the Subcommittee on Investor Protection, Entrepreneurship and Capital Markets will hold a hearing titled “China, Inc: Examining Risks to Investors and the US Posed by Foreign Issuers in US Markets”, during which the following witnesses will testify:

  • Karen Sutter, Asian Trade and Finance Specialist, Congressional Research Service
  • Samantha Ross, Founder, AssuranceMark, The Investors’ Consortium for Assurance
  • Claire Chu, Senior Analyst, RWR Advisory Group
  • Eric Lorber, Senior Director of the Center on Economic and Financial Power, Foundation for the Defense of Democracies
At the end of September, the Securities and Exchange Commission (SEC) issued a warning to potential investors in Chinese companies listed on US stock exchanges. In an alert, the SEC detailed the risks associated with investing in such companies, which potentially include being subject to Chinese law in the execution of contracts. Lawmakers are likely to explore this and other related topics.

On Wednesday, the Committee of the Whole will hold a hearing titled “Bringing Consumer Protection Back: A Semi-Annual Review of the Consumer Financial Protection Bureau,” at which the following witnesses will testify:

  • Rohit Chopra, Director, Consumer Financial Protection Bureau
Chopra is expected to be faced with questions similar to those he faced on the Senate Banking Committee.

Senate Finance Committee

On Tuesday, the Committee of the Whole will hold a confirmation hearing to consider the following candidates:

  • Maria Pagan to be Deputy U.S. Trade Representative (Geneva Office)
  • Brent Neiman to serve as Assistant Under Secretary to the Treasury for International Finance and Development
  • Joshua Frost to be Deputy Treasury Secretary for Financial Markets
  • Samuel Bagenstos will be the general counsel for the Ministry of Health and Social Services
House Ways and Means Committee

The committee has no activities scheduled for this week.

Taxation and finance Rewinding

In case you missed it …

  • In response to the proposed bank information reporting requirement put forward by Democrats, Mike Crapo (R-ID), a member of the Senate finance committee, introduced the law banning IRS financial monitoring, which would prevent the ‘IRS to implement the proposal.
  • The United States and five European countries (Austria, France, Italy, Spain and the United Kingdom) on digital taxes, apparently avoiding a potential trade war. Under the deal, countries will remove their taxes on digital services when the new, broader international framework takes effect and provide credit to businesses for the digital tax they may have paid.
  • The Treasury Department announced on Friday that the United States had a deficit of $ 2.77 trillion for the fiscal year, the second highest on record. The previous year recorded the largest annual deficit, at $ 3.1 trillion.


Below is a complete list of all tax and financial services events in Congress, government and the private sector for the coming week.


Wednesday October 27

Joint Economic Committee
Need help: a stronger labor market for robust growth

Thursday October 28

Senate Committee on Aging
A Financially Secure Future: Building a Stronger Retirement System for All Americans


Thursday October 28

Security and Trade Commission

Asset Management Advisory Committee to discuss issues in the asset management industry relating to the evolution of small advisor and small fund boards and subcommittees

Tax service
Taxpayer Advocacy Panel Joint Committee on Improving Customer Service at the IRS


Tuesday October 26

Washington, DC Economic Club
Discussion with Senator Joe Manchin (D-WV) on bipartisan legislative efforts

Wednesday October 27


Discussion with Senator Mark Warner (D-VA) on President Biden’s legislative agenda

Brooking Institution
US Energy Tax Policy and Climate Change

American Institute of Business
Unemployment Insurance at a Crossroads: Designing the Research Agenda During and Beyond COVID-19

Thursday October 28

American Chamber of Commerce
Inflation in the food and related industries



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