Brownstein Hyatt Farber Schreck, LLP
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The Senate voted to pass the $750 billion Inflation Reduction
Act (H.R. 5376) along party lines (51-50) this afternoon,
concluding a marathon session that began Saturday evening. As expected, Vice
President Kamala Harris cast the tie-breaking vote to approve the
bill. The legislation will now be sent to the House of
Representatives for consideration. House leadership announced last
week that the chamber will return on Friday, Aug. 12 to vote on
H.R. 5376. The House is not expected to make further changes to the
legislation, and House passage of an unaltered bill would send it
to President Joe Biden’s desk for final signature.
The Senate concluded its vote-a-rama on H.R. 5376 earlier today
after approximately 15 hours of activity. The vote-a-rama was
preceded by four hours of debate on the bill. Click
here to see our final vote-a-rama tracker, which includes
descriptions of the amendments, notes on discussion and information
on final votes.
Senators offered 28 amendments on the floor for a vote, and two
were ultimately adopted. Both adopted amendments concerned the
bill’s 15% book profits minimum tax. The chamber approved an
amendment offered by Sen. John Thune (R-SD) that effectively limits
the application of the tax to the largest 150-200 companies; Sen.
Thune offset this change with a one-year extension of the state and
local tax (SALT) cap. However, the Senate subsequently approved an
amendment offered by Sen. Mark Warner (D-VA) that funds the change
through a two-year extension of the pass-through loss limitation
rules under section 461(l), replacing the proposed extension of the
SALT cap.
The Senate also sustained a motion against the bill’s cap on
the price of insulin, striking it from the legislation. The chamber
considered nine motions to commit, none of which were approved.
The Senate will now join the House in recess for the remainder
of the summer; the House is scheduled to return for a committee
work week on Sept. 6, while the Senate will return to session in
Washington on the same date.
Below you will find links to key documents related to the
Inflation Reduction Act:
- Substitute Amendment offered by Majority Leader Chuck Schumer
(D-NY). (S.Amdt. 5194) - Joint Tax Committee’s Revenue Estimate of the Tax
Provisions in the Schumer Substitute (JCT Estimate). Note: We believe this to be the
latest score, though it is not currently posted on the JCT
website. - Partial Congressional Budget Office Score on the Schumer
Substitute. (CBO Score)
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