Senate GOP struggles with deficit in budget, taxes
WASHINGTON (AP) - Senate Republicans are struggling with how many billions of dollars President Donald Trump's tax code overhaul will add to the deficit as they work on a GOP budget plan that's a prerequisite to any far-reaching change in the nation's tax system.
Senate Majority Leader Mitch McConnell and GOP members of the Budget Committee met Tuesday with two top Trump administration officials to make progress on forging the budget plan, which is required to stave off potential Democratic blocking tactics and pass the subsequent tax bill only with GOP votes.
The as-yet-undrafted bill to overhaul the tax code is the top priority for Trump and Republicans after the collapse of their effort to dismantle Barack Obama's health care law. Trump's top economic adviser, Gary Cohn, and Treasury Secretary Steven Mnuchin met with McConnell, R-Ky., and budget panel members.
"From my standpoint, let's set ourselves up for success on tax reform," Sen. Ron Johnson, R-Wis., a member of the committee, said before the meeting.
Mnuchin signaled ahead of the meeting that the administration would be open to changes sought by lawmakers to improve the chances for passage of a tax overhaul this year. In an interview with CNBC, Mnuchin said the administration would "absolutely" consider making tax cuts retroactive to the start of this year if overhaul legislation didn't pass until 2018.
In addition, the administration would consider including an infrastructure spending bill as part of the tax legislation, Mnuchin said.