“Phase Two” of Tax Cuts to Offer Permanence

Congressional Republicans and the White House are pushing to pass another tax package this year to make permanent the recently enacted benefits for families and small businesses. House Ways and Means Committee Chairman Kevin Brady stated that a second tax bill would provide a permanent extension to the individual tax cuts, the majority of which currently expire after 2025. These tax cuts were originally made temporary to comply with budget reconciliation rules allowing for passage by a simple majority in the Senate, but an additional bill would require a 60-vote majority in the Senate absent a separate budget reconciliation process, which is not expected. Congressional Democrats have opposed permanent cuts that could worsen the national debt. Republicans have recently introduced bills in the House and Senate to make the individual tax cuts permanent, and Republicans have additionally voiced desire to lower capital gains taxes in a second bill.

Read more: GOP pushes for ‘phase two’ of tax cuts

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