Graham is letting his loyalty show in his choice of language -- Teddy Kennedy used to call "tax expenditures" anything the IRS let you keep. All deductions, exemptions, and credits were "tax expenditures" in Teddy-Lingo.
Graham’s choice of words is not a mere linguistic tic owing to his choice of associates: it reflects the common assumption in Washington that all money belongs to the government, and only their favor allows you to keep whatever portion of it they deem necessary and desirable.