Tax Analysts has published an article by Sam Goldfarb summarizing recent Senate legislation allowing for an increased federal debt limit and mandating a "pay as you go" budgeting system. Goldfarb notes that the spending rule allows for several important exceptions, including one which will allow for the retention of the estate tax at 2009 levels. Additionally, the spending rule can be "waived in emergencies...[and lawmakers] could conceivably make any bill exempt from statutory pay-go by writing an exemption into the text of the bill itself."
See Sam Goldfarb, "Senate Passes Statutory Pay-Go, Debt Limit Increase as White House Promises Budget Commission" 2010 TNT 19-3, January 28, 2010.
Posted by Evan L. Abrams, Esq., Associate Editor, Wealth Strategies Journal
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