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A Missed Opportunity to Support Our Military and Federal Workers
Last week, our brothers and sisters in the Senate had an opportunity to deliver paychecks to our military and essential federal employees amidst the government shutdown. However, Senate Democrats, including Arizona Senators Kelly and Gallego, voted against the measure.
I am beyond disappointed. When given a chance to work across the aisle and ease the burden on hardworking Americans, Senate Democrats chose partisanship over people.
Please call your Senators, and urge them to support efforts that reopen the government and provide relief to those serving our nation.
Social Security Benefits Announcement
The Social Security Administration announced that benefits for nearly 75 million Americans will rise by 2.8 % beginning in 2026.
On average Social Security retirement benefits will increase by about $56 per month starting in January. In addition, the maximum amount of earnings subject to the Social Security tax will rise from $176,100 in 2025 to $184,500 in 2026.
The SSA will begin notifying beneficiaries of their new benefit amount by mail in early December and members can view their notice online via their “my Social Security” account.
Recent IRS Guidance Updates
Below are highlights from recent IRS updates that you may find helpful ahead of tax filing season:
Form 1099-K Reporting Changes
• New FAQs explain updated Form 1099-K reporting rules under H.R.1
• Third-party settlement organizations must file a Form 1099-K for more than 200 transactions and over $20,000 in gross payments
• Payment card transactions can trigger a Form 1099-K even when the total amount is small
• The updates help taxpayers understand how the rules affect payment apps and online marketplace activity
Employee Retention Credit Guidance
• The IRS issued updated guidance for claims for the third and fourth quarters of 2021
• No new ERC claims will be paid if filed after Jan. 31, 2024
• Claims filed on time or withdrawn by the deadline may still be eligible
• Other parts of a tax return can still be processed even if the ERC is denied
• The IRS will issue Letter 105-C if a claim is disallowed
• Taxpayers may appeal through the IRS Independent Office of Appeals
Transition Relief for Car-Loan Interest Reporting
• Treasury and the IRS announced transition relief for 2025
• The relief supports compliance with provisions in the One Big Beautiful Bill Act
• Lenders can provide a statement to borrowers that shows total interest received during the year
• Qualified vehicles must be under 14,000 pounds GVWR and final assembly must occur in the United States
• No penalties will apply when simplified reporting requirements are met for the 2025 tax year
Beware of Scam Texts
Scams are becoming more common across the country and continue to disproportionately target our nation’s seniors.
A recent Wall Street Journal report revealed how Chinese criminal rings are coordinating scam operations through text messages. According to the Department of Homeland Security, these types of scams have led to more than $1 billion in stolen funds over the past three years.
With just one click, victims can unknowingly share personal or financial information that ends up in the hands of criminals overseas.
Please stay alert and avoid responding to messages from unfamiliar numbers. You can find helpful tips on how to protect yourself and your loved ones from text scams HERE. The Maricopa County Attorney’s Office offers additional guidance on staying alert for phishing scams at Maricopa Scams and Fraud. If you believe you have been a victim, visit reportfraud.ftc.gov to file a report.
Congressional App Challenge
2025 Congressional App Challenge submissions are due this Thursday.
The Congressional App Challenge is a competition aimed at encouraging middle and high school students to learn how to code by creating their own applications.
I strongly encourage students of all skill levels to participate, enabling them to learn how to create their own apps. Students can register online and submit their apps by October 30th.
To learn more about the competition or to submit an app click HERE.
What I'm Reading and Why it Matters
Arizona is First in Nation for Percentage of Students Using AI as Learning Tool
I am reading a report from the Arizona Department of Education that shows Arizona ranks first in the nation for the percentage of public school students using artificial intelligence learning tools. More than 170,000 students in our state use AI tutoring and instructional support which equals about 16 percent of the public school population. This matters because it shows how Arizona classrooms are starting to use new technology to help students learn and build skills for the future. It also reminds us that access and training will remain important as schools adopt more advanced tools. |