Overview
Treasury, IRS Designate Qualified Opportunity Zones: Today, Treasury and the IRS issued Notice 2018-48, listing the population census tracts designated by the Secretary of Treasury as qualified opportunity zones under section 1400Z-2. The Tax Cuts and Jobs Act added section 1400Z-2 to the Internal Revenue Code to allow states to nominate a limited number of population census tracks to be designated as qualified opportunity zones, which are then certified and designated by the Secretary of Treasury. Qualified opportunity zones are intended to encourage new capital investment in low-income areas by allowing taxpayers to defer the inclusion of eligible gain.
Ranking Member Wyden Calls for Investigation of Trump Foundation: Today, Senate Finance Committee Ranking Member Ron Wyden (D-OR) sent a letter to Finance Committee Member Chairman Orrin Hatch (R-UT) asking Hatch to join a bipartisan investigation to examine the laws regulating charitable organizations, including an investigation into the Donald J. Trump Foundation. Wyden requested that the investigation "determine whether current rules and IRS enforcement sufficiently protect charitable resources from self-dealing, partisan political activity, and other actions that are inconsistent with the laws governing charitable organizations."
Senate Finance Committee Holds Hearing on 232 Trade Actions: Today, US Commerce Secretary Wilbur Ross testified at a Senate Finance Committee hearing about the use of tariffs under Section 232 of the Trade Expansion Act of 1962. Chairman Hatch, in his opening statement, said that the steel and aluminum tariffs fail to address Chinese overproduction, as only around 5 percent of the steel and aluminum products targeted by the tariffs are from China. He said "as you consider these tariffs, know that you are taxing American families, you are putting American jobs at risk, and you are destroying markets—both foreign and domestic—for American businesses of all types, sorts, and sizes." Secretary Ross testified that the tariffs will "reduce imports to levels needed for these industries" and will allow industries to "re-open closed mills, sustain a skilled workforce, invest in needed research and development, and maintain or increase production."