Incoming Senate Majority Leader John Thune (R-SD) met yesterday with House Ways and Means Committee Chairman Jason Smith (R-MO) to discuss congressional Republicans’ approach to major tax legislation next year.
Thune and Smith are at odds on a timeline for a tax package.
Thune wants to give President-elect Donald Trump an early win with a border security and energy bill early next year. Smith has pushed back hard on that timeline, saying he wants to move quickly on tax via the reconciliation process.
This week, Thune said this week it will take Congress a while to reach consensus on complex changes to the tax code.
"My goal is to have this done by summer,” Thune said. "I think that big tax piece is just going to take a while. [But] failure is not an option as far as tax is concerned."
Smith’s position is to take advantage of Republicans’ majority control of the House, Senate and White House next year and pass one big package of conservative priorities including changes to tax, border and energy policy. House Republicans will be navigating a slim margin in the 119th Congress, and are convinced it would be easier to get tax changes through their chamber if it’s tied to immigration and energy provisions.Smith is engaged in many strategy sessions, but publicly did not say much after his meeting with Thune and others.
"I have expressed my idea on tax policy, and that’s my idea,” Smith told reporters earlier this week.
As has been reported, ASAE and many other associations are deeply concerned that Congress will look to the tax-exempt sector to help offset the cost of their tax package next year.
Influential policy think tanks have called for taxing all tax-exempt organizations across the board, applying the 21 percent corporate tax rate to all non-donation net revenue.
Membership dues, sponsorships, investment income and educational program revenue are only a few examples of what is potentially at risk.
ASAE is launching a coalition to defend the 501(c) community from increased taxation.
This article was provided to OSAP by ASAE's Power of Associations and Inroads.