House Oversight Chairman James Comer introduced legislation on Thursday, July 16, 2026, that would require Congress to approve any act passed by the D.C. Council imposing or increasing taxes or fees. Under the bill, such legislation would only take effect if Congress affirmatively passes a joint resolution of approval within 60 days of receiving the proposal.

Currently, D.C. Council legislation undergoes a passive congressional review period of about 30 legislative days, during which Congress can block policies by passing a joint resolution of disapproval. Comer's bill would change this process for tax-related measures, requiring active congressional consent before they can take effect.

The D.C. Council is considering tax increases to address a looming budget gap. One proposal, the Wealth Proceeds Tax, would impose a 3% surtax on passive income above $400,000 for individual filers and $500,000 for married couples, modeled after the federal Net Investment Income Tax. Ward 1 Democrat Nadeau stated that this tax could generate nearly $200 million in its first year and more than $100 million annually thereafter.

These tax options began to be explored after the council passed its fiscal 2027 budget in June. Comer said his bill ensures Congress “fulfills its constitutional responsibility” by reviewing and approving such legislation.

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