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Congress·In Committee·about 2 months ago

House Committee Reviews 2026 Funding Bill for IRS, Treasury, and State Department Programs

Also known as: Judiciary Appropriations Act, 2026

Legislative Progress

✓ Filed
✓ Review
✓ House

341–79

Senate
President

Impacts

Positive Impacts(2)
Small Business Owner
Helps
Criminal Record
Helps

State Impacts

CaliforniaCA
neutral

The bill provides a one-time $174,000 payment to Jill Marie LaMalfa, widow of Rep. Douglas L. LaMalfa of California.

ConnecticutCT
Positive

Federal Buildings Fund includes $10,000,000 for the Hartford U.S. Courthouse construction/acquisition project.

TennesseeTN
Positive

Federal Buildings Fund includes $43,500,000 for a Chattanooga U.S. Courthouse project and $1,500,000 for the Odell Horton Federal Building in Memphis.

WashingtonWA
Positive

Federal Buildings Fund includes $30,000,000 for a National Archives Replacement Facility in Seattle.

Puerto RicoPR
Positive

Federal Buildings Fund includes $20,000,000 for the Clemente Ruiz-Nazario U.S. Courthouse and Federico Degetau Federal Building in San Juan. The CDFI Fund’s ‘high-poverty area’ definition explicitly includes Puerto Rico data, which can shape how CDFI awards are prioritized.

Key Points

  • Sets the federal budget for many everyday-facing offices, including Treasury, the IRS, the White House, and parts of national security and foreign affairs.
  • Funds IRS customer help like phone support and tax return assistance programs, plus staffing and training aimed at better service and protecting taxpayer data.
  • Gives the IRS a large enforcement budget to collect unpaid taxes and investigate tax-related financial crimes, alongside money for core operations and technology.
  • Puts guardrails on some actions, like blocking Treasury/IRS from changing the rule used for certain nonprofit “social welfare” groups during 2026.
  • Includes targeted pots of money like community finance funding for underserved areas, Treasury cybersecurity upgrades, and a one-time payment to a late member’s widow.
TaxesEconomyNational SecurityForeign PolicyCybersecurity

Milestones

2 milestones2 actions
Jan 12, 2026House

Referred to the Committee on Appropriations, and in addition to the Committee on the Budget, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Jan 12, 2026

Introduced in House

What Happens Next

Projected impacts based on AI analysis

Within 45 days after the bill is enacted

Election security grants are paid out to states

States get federal money to upgrade voting systems and security, which can improve election equipment and cyber protections

Within 120 days after the bill is enacted

HIDTA drug trafficking program sends at least 51% of funds to state/local partners

Local drug task forces and related programs get funding and can hire or run operations sooner

First report within 20 days after enactment, then within 20 days after each month ends

Treasury must submit a Treasury Forfeiture Fund report, then monthly updates

More public and congressional tracking of seized-asset money, which can affect how law enforcement and victim compensation funding is managed

Within 90 days after the bill is enacted

Treasury must report on the Strategic Bitcoin Reserve and U.S. Digital Asset Stockpile

More clarity on how seized or held digital assets are stored, accounted for, and how they affect law enforcement funds

Within 30 days after the bill is enacted

OMB issues a memo directing agencies to comply with government-wide rules in Title VII

Agencies may change internal procedures (spending controls, reporting, compliance steps) that indirectly affect service delivery

Within 60 days after the bill is enacted

Agencies submit “baseline” staffing and spending reports; late reports trigger a $100,000/day penalty

This pushes agencies to publish clearer staffing/spending baselines, limiting surprise shifts in how money is used

Within 180 days after the bill is enacted

Small Business Administration reports staffing and funding by district office

More transparency on whether local SBA offices are staffed enough to help entrepreneurs in each region

2026-09-30

FY 2026 funding runs through the end of the federal fiscal year

Program funding described in the bill generally supports services and grants during FY 2026, with some money allowed to carry into 2027 or later where stated

Vote Results

3 votes
HouseFailedAmendmentJan 14, 2026

On Agreeing to the Amendment

An amendment to elect officers of the House.

163
257
Democrat
0 – 211 · 5
Republican
163 – 46 · 12
View full roll call
HouseFailedAmendmentJan 14, 2026

On Agreeing to the Amendment

An amendment numbered 1 printed in House Report 119-1 to strike carbon sequestration and ecosystem services prioritization from section 301 biochar demonstration projects.

127
291
Democrat
0 – 210 · 6
Republican
127 – 81 · 12
View full roll call
HousePassedPassageJan 14, 2026

On Passage

341
79
Democrat
153 – 57 · 3
Republican
188 – 22 · 8
View full roll call

Related News

2 articles
Tax Notes·about 2 months ago

New Budget Bill Would Inflict Biggest Cut on IRS Since at Least 2000

The conferenced FSGG spending bill cuts the IRS annual budget to $11.2 billion, the largest reduction in over two decades. While taxpayer services receive a $256 million boost, the bill slashes enforcement by $439 million and operations support by nearly $1 billion.

C−
The Hill·27 days ago

House passes final minibus funding package to end short government shutdown

Following a brief shutdown, the House approved a consolidated FY 2026 package ensuring funding for the Treasury, IRS, and State Department through September. The bill codifies significant spending reductions for international affairs while maintaining core domestic operations for the White House.

C=

Source Information

Document Type

Congressional Bill

Official Title

Financial Services and General Government and National Security, Department of State, and Related Programs Appropriations Act, 2026

Bill NumberHR 7006
Congress119th Congress
ChamberHouse of Representatives
Latest ActionReferred to the Committee on Appropriations, and in addition to the Committee on the Budget, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Sponsor

Analysis generated by AI. While we strive for accuracy, this should not be considered legal or professional advice. Always verify information with official government sources.