House Republicans Propose Aiding Israel By Cutting IRS Funding From Biden’s Inflation Reduction Act

Topline

House Republicans introduced a $14.3 billion aid package for Israel on Monday, but proposed paying for the bill by cutting the extra Internal Revenue Service funding approved in President Joe Biden’s Inflation Reduction Act—setting up a showdown with Biden and congressional Democrats just days after the House GOP elected a new speaker.

Newly elected Speaker of the House Rep. Mike Johnson (R-LA) released his first legislative push … [+] Monday by introducing a $14.3 billion aid package for Israel in which the money would be taken from the Internal Revenue Service, likely making it a non-starter for Democrats. (Photo by Win McNamee/Getty Images)

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Key Facts

Biden asked Congress to approve $14 billion in aid for Israel, but unlike the House GOP proposal, the president is seeking additional aid for Ukraine and Taiwan as well as border security funding in the same piece of legislation.

Newly-elected House Speaker Mike Johnson (R-La.) said Sunday he would move a bill with just aid for Israel forward and suggested the legislation could draw bipartisan support, calling Israel’s war with the Hamas militant group a “pressing and urgent need” and saying that aid takes “the immediate attention.”

However, the GOP bill introduced Monday proposes paying for aid for Israel with some of the $80 billion in increased funding earmarked for the IRS through Biden’s signature Inflation Reduction Act, making it less likely it will receive Democratic support.

If it survives the GOP-controlled House, the bill could struggle to pick up support in the Democrat-led Senate: Majority Leader Chuck Schumer (D-N.Y.) criticized the proposal to reporters, saying cutting funding from the IRS make it “much harder to pass,” while Senator Ron Wyden (R-Ore.) called the plan “horrifying” and “a non-starter,” NBC News reported.

Meanwhile, Senate Minority Leader Mitch McConnell (R-Ky.) has pushed for Congress to offer aid to both Israel and Ukraine, which is fighting against a Russian invasion.

When Biden proposed giving $14 billion to Israel as part of a larger package, he did not propose offsetting it with other cuts—which is typical as Congress usually doesn’t cut funding elsewhere to make room for emergency aid or spending.

What To Watch For

The House Rules Committee is set to review the proposed legislation on Wednesday, and Johnson told reporters Monday he expects a vote on the bill on Thursday, according to Bloomberg.

Crucial Quote

“I understand their priority is to bulk up the IRS, but I think if you put this to the American people and they weigh the two needs, I think they’re going to say standing with Israel and protecting the innocent over there is in our national interest and is a more immediate need than IRS agents,” Johnson said in a Fox News interview.

Chief Critic

Rep. Debbie Wasserman Schultz (D-Fla.) said in a statement Monday that “support for defending Israel should not come with conditions.” “When your neighbor’s house is on fire, you don’t haggle over the price of the garden hose,” she wrote.

Key Background

Almost two weeks ago, Biden asked Congress to pass $105 billion in emergency funding, including about $14 billion for military support in Israel and $61 billion for assistance in Ukraine. Biden’s ask also included money for humanitarian aid in Gaza, money for more border agents at the U.S.-Mexico border and aid to Taiwan. However, some House Republicans are skeptical of funding Ukraine’s war efforts, and the GOP has long railed against the Inflation Reduction Act of 2022, which aimed to raise money for climate and healthcare programs by giving the IRS more resources to enforce tax laws. The new GOP Israel bill is also Johnson’s first big legislative push since being elected Speaker of the House last week. House Republicans were able to rally around Johnson, ending a three-week period with no leader after far-right conservatives ousted former Speaker Kevin McCarthy (R-Calif.), but the party largely remains divided after struggling to elect a leader who pleased both far-right Republicans and moderates.

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