estate tax

House Republicans Raise Red Flags Over Senate Tax Bill
Differences on estate tax, state and local tax deduction could cause issues

Rep. Scott Perry, R-Pa., has concerns about the Senate not repealing the estate tax and worries the House have to vote on the Senate version of the tax overhaul bill. (Photo By Bill Clark/CQ Roll Call file photo)

The tax overhaul bill the Senate released Thursday could create problems in negotiations with the House, given its divergence on key areas like the estate tax and the state and local tax deduction.

House conservatives are already firing warning shots that some aspects of the Senate bill are unacceptable, like a one-year delay in the corporate tax rate cut and preservation of the estate tax.

House GOP Tax Bill Keeps 39.6% Rate for High Earners, Cuts Corporate Rate to 20%
Ways and Means Chairman Kevin Brady gathering feedback for changes to be made before Monday markup

House Ways and Means Chairman Kevin Brady, seen here during the September rollout of the GOP’s tax overhaul framework. (Bill Clark/CQ Roll Call file photo)

House Republicans’ long-awaited tax overhaul bill will keep the top individual rate at 39.6 percent for high-income earners and will immediately and permanently cut the corporate rate to 20 percent. 

The legislation seeks to revamp the tax code in a major way for the first time since 1986, incorporating long-sought goals of congressional Republicans to keep more money in the pockets of individuals and families and boost incentives for businesses by closing loopholes.