Washington, DC
SHELBURNE FALLS — With Republicans prepared to move forward in their efforts to overhaul the U.S. tax code, U.S. Rep. Richard Neal, D-Springfield, said he and other Democrats have urged congressional leaders to return to regular order and to not rush through legislation without properly vetting it.
The congressman, who has been in discussions with the White House and Republicans on tax reform as the top Democrat on the House Ways and Means Committee, offered that while both parties agree the tax system needs to be updated, they appear to be divided on how to best proceed on the issue.
Alluding to Republicans’ attempts to push through high-profile Affordable Care Act repeal bills with simple majority votes, Neal said Democrats are pushing to ensure tax overhaul plans put before Congress receive daytime mark ups and public hearings.
“We want this to be fully discussed and debated … The suggestion that this should be done by straight mark up without any opportunity to question panelists, I think, means that you won’t get a big tax reform package,” he told reporters following a Thursday event in Shelburne Falls.
Although Republicans largely excluded Democrats from debate on their ACA repeal proposals — legislation ultimately shot down after U.S. Sen. John McCain, R-Arizona, and others raised concerns about the process through which it was considered — Neal said he’s optimistic that they will be included in tax reform discussions.
“The rumor (is) that they are prepared to take the opportunity for Republican amendments and, which is unusual, some Democratic amendments,” he said. “So we’ll have a full-throttle debate about the Democratic amendments.”
The congressman added that while the two parties — and even the White House and Republicans — disagree on specifics, like the top individual rate or the state and local tax deduction, there’s a general consensus that the tax code needs to be re-examined.
“Let’s do this Democrats and Republicans,” he said. “We all agree on the problem, the tax code’s in terrible condition. But let’s not interchangeably say ‘tax reform constitutes tax cuts.’ Let’s have a full discussion about tax reform.”
House Speaker Paul Ryan and Senate Majority Leader Mitch McConnell unveiled their plan to overhaul the U.S. tax system in late September.
The so-called “Unified Tax Reform” framework, the congressional leaders said, would: lower rates for individuals and families by shrinking the current seven tax brackets to three; double the standard deduction and enhance the child tax credit; eliminate loopholes for the wealthy; repeal the “death tax” and alternative minimum tax; create a new lower rate and structure for small businesses; and lower the corporate tax rate to 20 percent, among other things.
The Trump administration has similarly called for cutting the corporate tax rate from 35 to 20 percent, doubling the standard deduction, increasing the child tax credit and consolidating the current income tax brackets to three, among other things.
