District of Columbia Mayor Signs Emergency Fiscal Year 2026 Budget, Includes Tax Provisions

The District of Columbia Mayor signed the Fiscal Year 2026 Budget Support Congressional Review Emergency Act of 2025. The law includes: 1) delaying the sales and use tax increase by amending the law to provide that the rate of tax is 6.0 percent before Oct. 1, 2026; 2) amending and lowering the additional tax on gross receipts for transient lodgings or accommodations (hotel tax) to 1.0 percent beginning April 1, 2023 through March 31, 2027; 3) delaying the combined reporting tax deduction; 4) repealing the child tax credit applicable as of Oct. 1, 2024; and 5) adding a non-profit solar ...