GOP has tax overhaul deal

President expects to sign final version next week

WASHINGTON – Republicans in Congress announced Wednesday that House and Senate leaders have reached a deal on how to overhaul the tax code, but Democrats are already using Doug Jones’ upset victory in Tuesday’s Alabama Senate election to argue Congress needs to slow down the tax bill.

Sen. Orrin Hatch, R-Utah, chairman of the Senate Finance Committee, confirmed the agreement ahead of a lunch meeting that Republican members of a House-Senate conference committee held at the White House with President Donald Trump.

Speaking to reporters after the lunch meeting, Trump said he expects to sign a final product by next week. “We’re just days away — I hope,” Trump said in a speech at the White House.

The president said members reached a deal, but did not discuss the specifics. Bills passed by the House and Senate in recent weeks had hundreds of differences.

Delivering what aides called his “closing argument” for the proposed tax bill, Trump said the plan would increase refunds for middle class families and reduce the complexities of filing tax returns.

Trump told reporters before the lunch he would accept a top corporate rate of 21 percent in the bill, a change from the 20 percent that was in versions that passed both chambers previously but still a significant drop from the current top rate of 35 percent.

During last year’s campaign, Trump had said he wanted a 15 percent corporate rate, but 21 percent would provide more revenue that negotiators could use to settle other differences in the House and Senate bills.

The Associated Press first reported the deal had been reached, and said the bill’s final language still needs to be crafted by staff, and then nonpartisan scorekeepers must tally the cost.

A final bill is expected by the end of the week, with votes in both houses next week.

Trump and congressional Republicans made a tax bill their top priority after failing to reach agreement in attempts to overhaul health insurance and repeal the Affordable Care Act, also known as Obamacare.

Democrats have voted unanimously against the tax bills. Senate Minority Leader Chuck Schumer D-N.Y., on Wednesday morning called for action on taxes to be delayed until the newly elected senator from Alabama, Democrat Doug Jones, can be sworn in.

“Senate Democrats are calling on Mitch McConnell to hit pause on the tax bill,” Schumer said.

Republicans immediately rejected that idea, and Democrats have little to no power to delay the bill.

Sen. Bob Corker said passage of the tax bill is inevitable.