Bill > PR26-0380

This emergency resolution addresses the District of Columbia's tax code conformity with a newly signed federal law, the "One Big Beautiful Bill Act" (OBBBA), which contains 84 tax-related provisions. The resolution declares an emergency to prevent automatic adoption of these federal tax provisions, which the Office of the Chief Financial Officer estimates would reduce District revenues by $94.4 million in Fiscal Year 2025 and $657.8 million through Fiscal Year 2029. The Council seeks to decouple from these tax provisions to allow more time for thoughtful analysis, given the challenging fiscal environment including a potential federal government shutdown and projected revenue decline. The resolution highlights concerns about retroactive tax provisions affecting overtime and tips, and notes that the Office of Tax and Revenue needs time to develop appropriate guidance and forms. By declaring an emergency, the Council aims to adopt the related amendment act after a single reading, enabling them to carefully review the tax provisions and minimize potential negative fiscal impacts on the District.

https://lims.dccouncil.gov/Legislation/PR26-0380