House Republicans announced they would put off the release of their tax bill until Thursday, which is a one-day delay, saying they had “a few finishing touches to do.” House Budget Chairwoman Diane Black said they wanted to ensure that everything was right when they put the tax bill out on Thursday.
She added that providing middle-class Americans as well as corporations with tax cuts while simultaneously simplifying and improving the tax code was a complex matter.
“Of course there will be winners and losers,” she said, pointing out that when the bill is introduced “it will be something most people will like.”
One of the main issues – allowing wealthy taxpayers from high-tax states to deduct state and local taxes from their federal tax bills – was discussed in an effort to reach a compromise on it. However, this provision will be eliminated from the bill. Black called it “unfair” that taxes in Tennessee are low, but places like New York and California raise taxes and “then just write it off because they can write it off in the federal government.”
Another key point which Republicans cannot reach a consensus on is the change to 401(k) plans. However, House Ways and Means Chairman Kevin Brady said they were pleased with the progress they were achieving.
“We are making excellent progress. We are very close to what we set out to do – bold, pro-growth tax reform. A lot [of] work remains with the drafters right now, and they will continue to work through the night. We are moving forward,” Brady said on Tuesday night.
President Donald Trump praised House Republicans on Tweeter and encouraged them to continue “working hard.”