Income tax in the United States

Minnesota Republican gubernatorial nominee Lisa Demuth is framing fraud and government waste as the key to funding her affordability agenda, which includes a $99 cap on vehicle tabs, property tax relief, and lower income tax rates. Asked how she would pay for these cuts, Demuth pointed to rooting out fraud, trimming government waste, and directing new agency commissioners to find $1 billion in savings rather than raising new revenue.

The approach reflects a broader strategy among Minnesota Republicans this fall: tying national frustration over rising costs to claims that state Democrats let spending go unchecked. Demuth applied similar logic to the prospect of federal Medicaid cuts, saying the state should first verify recipient eligibility before deciding whether to replace lost funds or reduce benefits. Critics note that recovered fraud dollars are difficult to convert into sustained tax relief, since permanent cuts require ongoing savings. Demuth dismissed concerns that fraud-driven savings might fall short, arguing a more business-friendly climate would grow the state's tax base over time. The debate adds to a competitive Minnesota election cycle that also includes a closely watched attorney general race.

Several Long Island-area members of Congress introduced bills in the final days before the House adjourned for the year, measures that experts say have little realistic chance of becoming law this session. Rep. Laura Gillen (D-Rockville Centre) filed a bill with two New Jersey Republicans creating a federal tax deduction of more than $4,000 annually for commuting costs, including gas, transit fares, and tolls like New York City's congestion pricing—introduced five days after the House had already left Washington. Other late entries include a Gottheimer-LaLota bill restricting Chinese AI on U.S. government systems, a Suozzi-Tenney bill targeting healthcare fraud and waste, and a Garbarino-Gillibrand measure to reimburse pension systems for 9/11-related death and disability benefits.

Congressional scholars, including Binghamton University's Donald Nieman and Georgetown's Joshua Huder, describe such bills as "messaging" or "position-taking" efforts aimed at campaign talking points rather than governance, since lame-duck sessions rarely advance new legislation. Some sponsors dispute that characterization, citing bipartisan backing and hopes for eventual passage.