US Economy Set for Another Cash Boost If Congress Backs Tax Deal

 

• Bipartisan proposal could fuel price pressures, economists say
• Passage isn’t assured as Republicans and Democrats haggle

The US economy is set for an unexpected fiscal boost if lawmakers back a potential deal for $70 billion worth of tax breaks for businesses and families.

Congressional negotiators are locked in talks over renewing expired business tax breaks and boosting the child tax credit, evenly split between both. The proposal will need to pass through a Congress that is deeply divided over the nation’s fiscal trajectory, as some Republican lawmakers push for deep spending cuts as a condition for averting another government shutdown on Jan. 19 and Feb. 2, when temporary funding expires.

https://www.bloomberg.com/news/articles/2024-01-14/us-economy-set-for-another-cash-boost-if-congress-backs-tax-deal