Tag: Steven Mnuchin

IRS, taxpayers face obstacles ahead of July 15 filing deadline

The Hill logoThe IRS and taxpayers face a number of obstacles before crossing the finish line in this year’s longer-than-usual tax filing season.

The coronavirus prompted the IRS in March to extend the deadline for individuals to file their 2019 returns, and pay their 2019 taxes, from April 15 to July 15. In addition to processing returns during that time, the agency also had to implement COVID-19 relief measures passed by Congress in the spring.

The virus also caused the IRS in March to direct most of its employees to work remotely, bringing a halt to key agency functions that cannot be performed remotely. As it started to bring employees back to their worksites in recent weeks, workers faced a backlog of tax returns to process and taxpayers to assist. Continue reading.

Treasury sent more than 1 million coronavirus stimulus payments to dead people, congressional watchdog finds

Washington Post logoThe checks sent to dead people as of April 30 totaled nearly $1.4 billion, according to the Government Accountability Office

The federal government sent coronavirus stimulus payments to almost 1.1 million dead people totaling nearly $1.4 billion, Congress’s independent watchdog reported Thursday.

The Washington Post previously reported that the Treasury Department and Internal Revenue Service disbursed some payments of up to $1,200 each to dead people. But the astonishing scope of the problem had not been known.

The U.S. Government Accountability Office, an independent investigative agency that reports to Congress, issued the finding as part of a comprehensive report on the nearly $3 trillion in coronavirus relief spending approved by Congress in March and April. It said it had received the information from the Treasury Inspector General for Tax Administration in an accounting as of April 30. Continue reading.

Treasury, SBA cave to demands for bailout transparency

The Trump administration sparked controversy last week when it said it would not reveal the names of companies that received loans.

The Treasury Department and Small Business Administration bowed to congressional pressure Friday and said they will disclose information on companies that received loans under the government’s massive small business rescue program.

The names of companies and nonprofits that got loans larger than $150,000 under the Paycheck Protection Program will be released, along with other identifying information, the agencies said in a statement. Loan amounts will only be given within a certain range.

Treasury Secretary Steven Mnuchin said the move represents an agreement with the bipartisan leaders of the Senate Small Business Committee, which is headed by Sens. Marco Rubio (R-Fla.) and Ben Cardin (D-Md.). Those lawmakers had asked for all borrowers to be identified; the deal will cover nearly 75 percent of the more than $500 billion that has been lent out, though only a minority of the 4.5 million total beneficiaries. Continue reading.

White House Adviser: No ‘Transparency’ Promise Ever Made Over Billions In Loans

Larry Kudlow contradicted a promise made by Treasury Secretary Steven Mnuchin to disclose the companies that received billions in coronavirus relief loans.

White House economic adviser Larry Kudlow on Sunday claimed that the administration never promised to disclose which businesses received more than $500 billion in coronavirus relief loans, contradicting an earlier statement by Treasury Secretary Steven Mnuchin
Kudlow, director of the U.S. National Economic Council, made his statement to Jake Tapper on CNN’s “State of the Union” about the Paycheck Protection Program, which Congress authorized in March to bail out companies harmed by the coronavirus pandemic.

When asked whether Americans deserve to know which wealthy companies have received taxpayer-funded bailouts, Kudlow said, “As far as naming each and every company, I don’t think that promise was ever made, and I don’t think it’s necessary.” Continue reading.

Mnuchin secrecy on bailout sparks rift with Congress

The Treasury secretary’s refusal has created a new flashpoint in Congress’ oversight of the Trump administration’s use of coronavirus bailout funds.

Treasury Secretary Steven Mnuchin is facing criticism from lawmakers and watchdog groups after refusing to disclose the businesses that received more than $500 billion in government-backed emergency loans

Mnuchin ignited controversy on Wednesday when he said the Trump administration will not reveal the names of companies and nonprofits that got the so-called Paycheck Protection Program loans, which are guaranteed by the taxpayer and can be forgiven in full if borrowers maintain their payrolls.

Mnuchin said the names and specific loan amounts were “proprietary” and “confidential,” but that came as a shock after officials had indicated earlier that the information would be subject to public scrutiny. The Small Business Administration warns borrowers in the program’s loan application that their names and loan values will be released under Freedom of Information Act requests. POLITICO has sought the information under FOIA, and several other news outlets are suing the government to obtain it. Continue reading.

Steve Mnuchin and Betsy DeVos sued for unlawful seizure of student loan borrowers’ tax refunds during pandemic

AlterNet logoTreasury Secretary Steven Mnuchin, Education Secretary Betsy DeVos, and the federal departments they run were hit with a class-action lawsuit Friday for illegal seizures of thousands of student borrowers’ tax refunds during the coronavirus pandemic, which has left over 40 million Americans jobless and familes across the country struggling to stay in their homes and keep food on the table.

The suit (pdf)—filed by Student Defense and Democracy Forward in the U.S. District Court for D.C.—accuses the Education and Treasury departments of violating the Coronavirus Aid, Relief, and Economic Security Act (CARES) Act from late March, which halted all involuntary collection of federal student loans, including tax refund offsets, until the end of September.

“Secretaries DeVos and Mnuchin have inflicted needless financial pain on student borrowers and their families by failing to stop the illegal seizures of their tax refunds,” Democracy Forward senior counsel Jeffrey Dubner said in a statement. Continue reading.

Mnuchin sees ‘strong likelihood’ of needing another COVID-19 relief bill

The Hill logoTreasury Secretary Steven Mnuchin on Thursday said there is a “strong likelihood” that another coronavirus relief bill will be needed as more states start to reopen and the economy struggles to stabilize.

“We’re going to carefully review the next few weeks,” Mnuchin said in aninterview with The Hill’s Bob Cusack during a virtual event. “I think there is a strong likelihood we will need another bill, but we just have $3 trillion we’re pumping into the economy.”

“We’re going to step back for a few weeks and think very clearly how we need to spend more money and if we need to do that,” he added. Continue reading.

Mnuchin defends White House push to reopen economy as Democrats voice growing concerns

Washington Post logoOne Democrat alleged Mnuchin was putting workers’ lives at risk by moving too quickly

President Trump’s drive to swiftly reopen the economy came under fire Tuesday from Democratic senators who pointedly questioned the administration’s strategy, forcing Treasury Secretary Steven Mnuchin to insist the White House would not sacrifice workers’ lives for economic gain.

But the growing insistence by Trump and Republican lawmakers to push for reopening while halting any new talks about aid has created a stark divide in the government’s approach. As Trump has largely shut down negotiations for more emergency assistance, Federal Reserve Chair Jerome H. Powell warned Tuesday that much more may be needed.

>“We may need to do more, and Congress may, as well,” Powell told lawmakers Tuesday. Continue reading.

Glitches prevent $1,200 stimulus checks from reaching millions of Americans

Washington Post logoSeveral million people who filed their taxes via H&R Block, TurboTax and other popular services were unable to get their payments. Some parents reported they didn’t get the $500 promised for their dependent children.

Many Americans woke up Wednesday expecting to find a payment of $1,200 or more from the U.S. government in their bank account, but instead they realized nothing had arrived yet — or the wrong amount was deposited. Parents of young children complained they did not receive the promised $500 check for their dependent children.

U.S. Treasury Secretary Steven Mnuchin has instructed the Internal Revenue Service to get payments out as fast as possible to help offset the pain of losing jobs and shutting down businesses, but numerous glitches — affecting filers who used tax preparers, parents of dependent children and people with 2019 tax returns still to be processed — are delaying payments and causing confusion.

Several million people who filed their taxes via H&R Block, TurboTax and other services were unable to get their payments because the IRS did not have their direct deposit information on file, according to the Treasury, companies and experts. Continue reading.

Aides expect Schumer, Mnuchin to reach deal on coronavirus relief

The Hill logoTreasury Secretary Steven Mnuchin and Senate Democratic Leader Charles Schumer (N.Y.) are expected to reach a deal this week on an interim coronavirus relief bill that would provide money to businesses, hospitals and state governments.

The deal could lead to legislation being passed quickly through the Senate on Thursday, and through the House no later than early next week.

The House has said it will not return to Washington until at least the week of May 4 given the danger of the coronavirus, which has sent lawmakers in both chambers home. Continue reading.