Congressional Republicans have some ironing out to do.
In the final step for the GOP tax bill, lawmakers from the House and Senate will come together in a version of a conference committee to smooth out the differences between their respective tax bills in order to get something on the president’s desk by the end of the year.
At its core, the unified Republican vision for the tax bill is a proposal that gives corporations a massive tax break, and caps and ends various individual deductions in exchange.
But there are still major differences in the tax proposals passed by the House and Senate. As Dylan Scott and I explained, Republicans still don’t agree on how permanent this tax overhaul would be. The House bill makes its changes to the individual tax code permanent, but the Senate bill would allow many major provisions to expire after 2025 in order to comply with a Senate rule that limits how much this bill can increase the federal deficit.
The Senate bill also repeals the Affordable Care Act’s individual mandate, which the House does not, and addresses taxes for pass-through businesses, like LLCs and partnerships, differently. Plus, in a last-minute deficit management push, the Senate bill decided to keep a corporate tax that has industries fuming, and will likely be reconciled in this process.
On top of all this, many House Republicans from Democrat-led states took difficult votes approving the House’s tax bill after being given assurances that the proposal would become better for them in the Senate and after. But the House and Senate bills actually match on the provisions that would most impact these lawmakers. Conversations with lobbyists close to the debate indicate that blue-state Republicans’ concerns are not the highest priority for top Republican negotiators, but they do hold enough Read More Here