H.R. 9383, Financial Institution Tax Carve-out. Quorum's AI analysis reads it as a net cost — and names who bears it.

What it does

This bill allows certain financial institutions—primarily banks and bank holding companies—to carry forward net operating losses (NOLs) for up to 20 years, and in some cases carry them backward to prior years, to offset future or past taxable income. The bill creates a special tax election available only to these financial institutions for losses incurred between 2027 and 2029 and beyond, effectively allowing them to reduce their federal tax liability by spreading losses across decades.

The analysis names banks (regional and community banks not in certain holding company structures) — and 2 more groups — among the beneficiaries.

The cost

The bill's title ('Small Business and Consumer Credit Act') does not reflect its actual mechanism—it is purely a tax subsidy for financial institutions with no stated connection to small business lending or consumer credit expansion.

The analysis put a high warning level on this bill. Transparency scores 35%, and the analysis found no provisions unrelated to the bill's subject.

Who is behind it

Filed by Mike Carey. Cosponsored by Beth Van Duyne, Claudia Tenney, Donald Beyer and Gwen Moore.