The Senate Finance Committee on November 16 approved by a vote of 14 to 12 a Senate version of tax reform legislation. The Finance Committee action comes after the House of Representatives on November 16 voted 227 to 205 to pass the ‘Tax Cuts and Jobs Act’ (HR 1). The tax reform proposals approved by the Finance Committee differ in key aspects from the House-passed bill.
The Senate is expected to consider floor amendments to the Finance Committee-approved tax reform bill during the week of November 27, following Congress’s Thanksgiving holiday recess week. Once the Senate has approved its tax reform bill, the two chambers must reconcile differences between the two bills and then vote to pass a final bill in identical form before tax reform legislation can be signed into law by President Trump.
Click below for a summary of key business and individual tax reform provisions that were approved by the Senate Finance Committee.
Following House passage of the ‘Tax Cuts and Jobs Act,’ the Senate Finance Committee’s approval of its tax reform package is a significant achievement and demonstrates the momentum that is building in support of tax reform legislation. At the same time, there continue to be many steps that need to be completed before Congress can enact a reform of US tax law providing a more competitive tax system for business taxpayers and improved economic opportunities for individuals and families.
Stakeholders should remain engaged in the legislative process as Congress works to enact tax reform intended to boost US competitiveness and productivity through lower business tax rates, a modernized international tax system, and incentives to invest in the United States.