A recent Congress.gov alert brought this news about Senator Murkowski:
- S. 2530 – A bill to amend the Internal Revenue Code of 1986 to modify the exemption for certain aircraft from the excise taxes on transportation by air.
The text has this line in it:
(1) in subsection (a), by striking “6,000 pounds or less” and inserting “12,500 pounds or less”, and
So it looks like heavier and more expensive aircraft will be exempt from excise taxes. This will reduce revenue to the federal government during a time of deficits. Without other actions it will raise the annual deficit.
So, if Senator Murkowski wants to keep the deficit from increasing under S. 2530, she needs to either offer an offsetting tax on something else, or cut something. Will she do either?