CBO: House Israel Bill To Add USD$12B To Deficit Over 10 Years

The Congressional Budget Office has estimated that the House of Representatives' supplemental funding bill for Israel will add nearly USD$12.5 billion to the federal deficit over the next 10 years.

• The CBO also notes that the USD$14 billion bill, which offsets costs through cuts to the IRS, would decrease tax revenue by around USD$26 billion over the same period.
• IRS Commissioner Daniel Werfel told the Washington Post that the plan would cost the IRS USD$90 billion: “All of those funds go to increased scrutiny on tax evasion going on at the highest wealth levels,” adding that the IRS would be "leaving money on the table."
• The bill has come under major criticism from Democrats with the White House confirming that President Biden would veto the bill and House Democrat leadership whipping against it. More on the Democrat response in today's edition of our MNI US Daily Brief.
• Jake Sherman notes, had Speaker Mike Johnson (R-LA), "not offset the $14B bill, he probably would've passed it with 350-400 votes and jammed the Senate. Johnson could've made law in his first week."
• Sherman notes that Johnson's strategy may have forced the Senate into considering, "a massive Ukraine-Israel-Taiwan bill which will have zero offsets," and potentially decreasing the House's prospects of scoring major concessions on border security.