The Washington Wire Archive - The S Corporation Association

Blood from a Stone

While most people were trying to file their taxes last month, Senator Elizabeth Warren was busy trying to raise them. Her reintroduced Ultra-Millionaire Tax Act of 2026 would impose a 2-percent annual levy on individual net worth above $50 million, a 3-percent rate on billionaires, and generate what its proponents claim will be over $6 trillion. That estimate is the economist equivalent of drawing blood from a stone – it doesn’t exist and it shouldn’t be taken seriously.

Warren’s latest proposal also includes a 40 percent “exit tax” on the net worth of any American worth more than $50 million …

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admin2026-05-14T17:36:46+00:00May 14, 2026|

Greater Fool Markets

In economics, the “Greater Fool” theory holds that investors buy overpriced assets expecting others will pay more for them later. So a stock or real estate bubble will continue until the proverbial “last fool” jumps in, at which point there’s nobody left to keep the bubble going and it bursts.

We need an analogous theory for tax policy these days. States like California, New York, and Washington continue to raise taxes and otherwise create an environment that is hostile to investment and entrepreneurship. The result has been an unprecedented flight of taxpayers and capital out of those states:

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admin2026-05-08T15:35:26+00:00May 8, 2026|

Senate Joins CTA Relief Effort

More good news on the CTA front. Fresh on the heels of the House Financial Services Committee advancing CTA relief, the Senate has stepped up with legislation of its own. Senators John Kennedy (R-LA) and Mike Lee (R-UT) introduced a bill this week that mirrors the House approach, codifying Treasury’s March 2025 rule limiting beneficial ownership information reporting to foreign entities only, while also requiring FinCEN to delete the personal data already collected from American business owners under the original mandate.

It’s a welcome development and a sign that momentum is building on both sides of the Capitol.

The Kennedy-Lee …

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admin2026-04-30T19:31:44+00:00April 30, 2026|

Tax Day Headlines Miss the Full Story

Recent news coverage suggests that the Working Families Tax Cut Act was a bust. Here’s Politico’s Bernie Becker when asked if this tax filing season has lived up to expectations:

The short answer is no… it wasn’t just one person promising $1,000. It was a key line they said over and over again. When you get refunds a third of the way there, there’s no way to suggest anything but that they overpromised.

But the promise of tax savings was not limited to refunds – it also included lower tax payments to close out 2025 and lower taxes paid through withholding …

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admin2026-04-24T09:41:04+00:00April 24, 2026|

House Panel Moves CTA Relief

As we previewed recently, the House Financial Services Committee yesterday advanced legislation that would repeal the Corporate Transparency Act’s reporting requirements for over 30 million American businesses. The measure – as amended and approved by the panel – codifies a Treasury Department rule limiting the CTA’s scope only to foreign entities, while protecting sensitive information already collected under the state by requiring a purge of the beneficial ownership database.

It’s a huge win for the tens of millions of Main Street businesses targeted by this ill-conceived reporting regime, and marks a new milestone in our efforts to rein in …

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admin2026-04-22T15:29:57+00:00April 22, 2026|