Congress Can Challenge Payroll Tax Guidance, Watchdog Says (1)

Sept. 15, 2020, 8:03 PM UTCUpdated: Sept. 16, 2020, 12:24 AM UTC

Congress could now challenge IRS guidance on President Donald Trump’s payroll tax deferral, according to a conclusion a government watchdog released.

The Government Accountability Office said Tuesday that it doesn’t need to issue a legal decision on whether the IRS notice implementing the deferral is a “rule” subject to the Congressional Review Act because it’s automatically a rule based on the way it was submitted.

Senate Minority Leader Charles Schumer (D-N.Y.) and Senate Finance Committee ranking member Ron Wyden (D-Ore.) asked the GAO earlier this month to weigh in with a legal decision on whether the guidance ...

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