Senate Votes to Proceed as Tax Reform Bill Gains Steam
Senate Approves Tax Bill for Debate 52 – 48
Senate Republicans have moved to put a tax overhaul on the Senate floor in the next few days. Republicans are readying a bevy of last-minute changes that could redirect billions of dollars in the US economy over the next decade, changes that senators hadn’t even seen in writing mere hours before they voted 52 to 48 to start debate on the tax bill.
Now 20 hours of vigorous debate begins – which might be called ‘deal of fortune’ or ‘vote a rama’ – where a variety of amendments will be voted on.
Among the issues are raising the corporate rate to 22-24%, inserting a ‘trigger’ for increase in taxes if the cuts don’t work, eliminating the repeal of the individual mandate, and raising the deduction for small business pass-throughs. A lot is in flux and the December 8 spending deadline is approaching, so stay tuned!
Additional Highlights from Yesterday’s Events:
- The spotlight now turns to 20 hours of debate followed by a marathon series of amendments.
- President Trump gave a speech in Missouri touting his tax plan.
- Some Republicans now say a “trigger” mechanism under discussion should require automatic spending cuts, not tax increases.
- Senators Marco Rubio of Florida and Mike Lee of Utah want to expand the child tax credit and proposed a corporate tax rate of 22 percent, not 20 percent as in Senate bill.
- Republicans are now discussing allowing pass-through owners to deduct 20 percent of business income, up from 17.4 percent.
Big changes still expected
In a possible sign of things to come, Senators Rubio and Lee, said on Wednesday, they would propose an amendment to expand the child tax credit while providing a slightly smaller corporate tax cut than currently proposed.