Week ahead: House sets vote on tax overhaul

Week ahead: House sets vote on tax overhaul
© Greg Nash

The House will vote on its version of the Republican tax reform bill in the coming week, as leaders race to get legislation to President Trump's desk by Thanksgiving.

"Millions of families are counting on us. Millions of small business owners are counting on us," House Majority Leader Kevin McCarthyKevin Owen McCarthyHarris introduces bill to prevent California wildfires McCarthy says views on impeachment won't change even if Taylor's testimony is confirmed House Republicans call impeachment hearing 'boring,' dismiss Taylor testimony as hearsay MORE (R-Calif.) said of the bill on Thursday. "The House will vote on this bill next week to deliver a win for the American people.

The bill, which was approved along party lines in the House Ways and Means Committee on Thursday, is the centerpiece of the Republican legislative agenda.

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The measure -- which reduces the number of individual tax rates, slashes the corporate tax rate and eliminates many deductions and credits -- was approved on a party-line vote of 24-16 in the committee.

The only changes made to the bill during a marathon four-day markup were from amendments offered by Ways and Means Committee Chairman Kevin BradyKevin Patrick BradyLawmakers under pressure to pass benefits fix for military families How centrist Dems learned to stop worrying and love impeachment On The Money: Senate passes first spending package as shutdown looms | Treasury moves to roll back Obama rules on offshore tax deals | Trade deal talks manage to weather Trump impeachment storm MORE (R-Texas).

Thursday afternoon, Brady made a number of changes to the bill which included restoring the adoption tax credit, additional tax relief for pass-through businesses and higher tax rates on repatriated foreign earnings. Brady also offered an amendment on Monday.

Brady said the amendment "takes action on three crucial priorities -- helping American families, providing tax relief to Main Street startups and increasing American competitiveness."

"Americans deserve a new tax code for a new era of prosperity, and today we deliver," Brady added.

But Republicans still face serious obstacles before their tax plan can be signed into law.

A Senate version of the plan released Thursday contained significant differences from the House version, and bridging the divide will not be easy.

While the Senate also set its sights on passing a bill before Thanksgiving, that deadline is looking less realistic.

The Senate Finance Committee will begin to mark up its tax proposal on Monday, Committee Chairman Orrin HatchOrrin Grant HatchTrump awards Medal of Freedom to racing industry icon Roger Penske Trump holds more Medal of Freedom ceremonies than predecessors but awards fewer medals Trump to award Medal of Freedom to former Attorney General Edwin Meese MORE (R-Utah) announced.

"This is just the start of the legislative process in the Senate," Hatch said in a statement. "We expect robust committee debate on the policies in this bill, will have an open amendment process, and hope to report legislation by the end of the week."

The Senate proposal lowers the top individual and corporate tax rates and keeps some of the tax breaks that are eliminated in the House GOP tax bill.

But some GOP senators are quickly raised concerns about their chamber's tax plan hours after being briefed on the details.

"I remain concerned over how the current tax reform proposals will grow the already staggering national debt by opting for short-term fixes while ignoring long-term problems for taxpayers and the economy," said GOP Sen. Jeff FlakeJeffrey (Jeff) Lane FlakeLindsey Graham basks in the impeachment spotlight Kelly, McSally virtually tied in Arizona Senate race: poll The Hill's 12:30 Report — Presented by Nareit — White House cheers Republicans for storming impeachment hearing MORE (R-Ariz.). 

Sens. John McCainJohn Sidney McCainConservative group cuts ties with Michelle Malkin Democratic debate at Tyler Perry's could miss the mark with black voters Donald Trump's 2020 election economic gamble MORE (Ariz.), Bob CorkerRobert (Bob) Phillips CorkerRNC says ex-Trump ambassador nominee's efforts 'to link future contributions to an official action' were 'inappropriate' Lindsey Graham basks in the impeachment spotlight The Hill's 12:30 Report — Presented by Nareit — White House cheers Republicans for storming impeachment hearing MORE (Tenn.) and James LankfordJames Paul LankfordSenate GOP waves Trump off early motion to dismiss impeachment charges On The Money: Lawmakers dismiss fears of another shutdown | Income for poorest Americans fell faster than thought | Net employment holds steady in September | Groups press Senate on retirement bill Lawmakers dismiss fresh fears of another government shutdown MORE (Okla.) expressed similar concerns about the debt, while Marco RubioMarco Antonio RubioMcConnell urges Trump to voice support for Hong Kong protesters GOP senator introduces bill to limit flow of US data to China GOP senators plan to tune out impeachment week MORE (Fla.) and Mike LeeMichael (Mike) Shumway LeeGOP divided over impeachment trial strategy Hillicon Valley: Amazon to challenge Pentagon cloud contract in court | State antitrust investigation into Google expands | Intel agencies no longer collecting location data without warrant Senators introduce bipartisan bill restricting police use of facial recognition tech MORE (Utah) objected to the size of the child tax credit increase.

Meanwhile, conservative political groups and businesses are worried over Senate plans to delay the corporate tax cut until 2019. FreedomWorks called the proposed delay "unacceptable," while stocks fell sharply on the news.

Senate leaders delayed the corporate rate to give themselves $100 billion in savings to address other concerns with the plan. The Republican budget gives lawmakers room to make $1.5 trillion in tax cuts over ten years without violating rules that would allow the tax bill to pass with 51 votes.

Republicans are dedicated to a massive tax cut for corporations, arguing it would make U.S. businesses more competitive globally and boost economic growth. But delaying the corporate tax cut could prompt businesses to hold off on key investments.

Your week ahead:

Monday:

Tuesday:

  • House Financial Services Committee: Markup of more than 20 bills ranging from Dodd-Frank Act revisions to sanctions on Iran, 10 a.m. http://bit.ly/2AreOhX.
  • House Foreign Affairs Committee: Hearing on Brexit negotiations, 2 p.m. http://bit.ly/2AsvaXh.

Wednesday:

  • House Foreign Affairs Committee: Hearing entitled "Development Finance in Asia: U.S. Economic Strategy Amid China's Belt and Road," 2:30 p.m. http://bit.ly/2ApJRur.

 

Recap the week with Overnight Finance:

Monday: Live coverage of GOP tax bill markup | House gets deal on flood insurance overhaul | Five questions for next Fed chair | Chip makers plan tech mega-merger

Tuesday: GOP criticism of tax bill grows, but few no votes | Highlights from day two of markup | House votes to overturn joint-employer rule | Senate panel approves North Korean banking sanctions

Wednesday:  Day three of tax bill markup | Ryan says election results raise pressure for tax reform | Tax whip list - Where Republicans stand | Justice, AT&T spar over CNN sale | 25 Dems vow to block spending without Dream Act

Thursday: Senate GOP unveils different approach on tax reform | House tax bill heads to floor | House leaders eye vote next week | AT&T denies pressure for CNN sale

 

Today's stories:

 

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