Today In Washington
November 15, 2017
Source: AEO Government Relations Team, Madison Services Group
Senate Tax Reform Debate
Today, the Senate Finance Committee will continue debate on tax reform. Yesterday, Committee Chair Orrin Hatch (R-UT) released a revised Chairman’s Mark. This revision sunsets the individual rates and Alternative Minimum Tax (AMT) on December 31, 2025, increases the Child Tax Credit to $2,000, alters the 17.4% deduction for pass-throughs, and eliminates the American Care Act (Obamacare) individual mandate. These modifications were introduced to avert a conflict with what is known as the Senate “Byrd Rule.” The Byrd Rule provision relevant to this debate dictates that a reconciliation bill cannot increase the deficit in any fiscal year after the window of the reconciliation bill. Pursuant to the reconciliation language in the FY 2018 Budget Resolution, Congressional tax-writing committees are provided $1.5 trillion over 10 years, or October 1, 2017 – September 30, 2026.
It is worth noting that, while these modifications are substantial, a Senate version of the “Tax Cuts and Jobs Act” does not currently exist. The Senate Finance Committee is holding a conceptual mark-up, which means that tax reform is being debated as a narrative, not as bill text. The Committee is not expected to conclude this conceptual mark-up until the Thanksgiving holiday break, and further substantial revisions are possible before the Committee produces an actual bill text.
Mid-Size Business Roundtable
Yesterday, the House Small Business Committee held a roundtable titled “Mid-Sized Businesses: Too Big to be Small and Too Small to be Big.” Committee Chair Steve Chabot (R-OH) held this preliminary event to educate new Committee members on the challenges these firms face regarding success and growth. You can find the Committee’s press release here.
Today @ 10 a.m.: Senate Finance Committee hearing – “Continuation of the Open Executive Session to Consider an Original Bill Entitled the Tax Cuts and Jobs Act.” 216 Hart Senate Office Building.
Today @ 11 a.m.: House Small Business Committee hearing – “Federal Government and Small Businesses: Promoting Greater Information Sharing for Stronger Cybersecurity.” 2360 Rayburn House Office Building.