Tax

The tax exemption appears to be in realistic danger as House Republicans seek to offset the cost of extending the Trump tax cuts.

The House document outlining potential policy changes focuses heavily on the healthcare sector to generate savings.

While Texas is forecasting a big budget balance, fiscal boom times are ebbing for it and other Southwest states amid tax cuts and depleted federal funding.

Unfortunately, a vocal minority believes eliminating the longstanding tax exemption on local, state, and municipal bonds is one way to pay for extending tax cuts.

While the new tax policies should address the state's projected deficit, rating agencies are cautious about the projected revenues and federal spending on Medicaid, which could impact Louisiana.

Among the materials for lawmakers is a new report estimating the tax exemption saves issuers $824 billion through 2035.

Treasury Secretary nominee Scott Bessent sparred with the Senate Finance Committee over the future direction of fiscal policy in the Trump administration that will be trying to tackle major tax legislation.

OMB director nominee Russell Vought said he supports allowing the president to redirect funding away from state and local governments, bypassing the congressional appropriations process.

The Goldwater Institute took aim at another Arizona municipality, filing a lawsuit against tax rate hikes approved by the Gilbert Town Council in October.

The House Ways and Means Committee has kicked off debate on the Tax Cuts and Jobs Act that is scheduled to sunset at the end of the year, with much at stake for the municipal market.