WASHINGTON – The House of Representatives has passed the $1.75-trillion Build Back Better Act absent any language supporting the IRS reporting proposal that credit unions and other financial institutions had strongly opposed.
The language had actually been removed from an earlier version of the bill and the White House had confirmed it would not be included. But Capitol Hill observers had told CUToday.info that they remained wary the proposal would find its way back into the enormous proposed spending package.
The proposal had initially called for financial institutions to report all inflows/outflows of $600 or more to the IRS. After strong pushback, that threshold was subsequently raised to $10,000, but the objections remained.
“We are glad to see that the IRS reporting proposal is not included in the House version of this bill,” said CUNA President/CEO Jim Nussle. “As it heads to the Senate, we continue to encourage lawmakers to refrain from including this harmful provision in their final plan.”
Priority for Democrats
The Build Back Better legislation, a priority of President Biden and congressional Democrats, includes funds for universal pre-K, Medicare expansion, renewable energy credits, affordable housing, a year of expanded Child Tax Credits and significant subsidies for Obamacare.
The final vote was 220-213, and only one Democrat, Jared Golden of Maine, voted against the bill.
The bill must now go to the Senate, where analysts have said they expect it will be revised. Senate Majority Leader Chuck Schumer (D-NY) said he aims to have the chamber pass the bill before Christmas. The House will need to vote on it again if the bill is altered.