U.S. House to vote on budget plan amid
Republican fight on taxes
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[October 26, 2017]
By David Morgan
WASHINGTON (Reuters) - The U.S. House of
Representatives was set to vote on Thursday on a budget blueprint
central to efforts by Republicans to enact big tax cuts, but the outlook
was clouded by a rebellion by moderates within the party from high-tax
states.
The budget plan, which has already been approved by the Senate, would
pave the way for a tax-cut package to clear that chamber with a simple
majority.
Without the plan, Senate Republicans, who hold a slim 52-48 majority,
would need to secure 60 votes. That would require support from
Democrats, who have called the tax plan championed by Republican
President Donald Trump a giveaway to corporations and the wealthy.
But some Republicans in the House vowed to vote against the budget
measure in an effort to protect a popular deduction for state and local
income taxes that could be on the chopping block. Eliminating the
deduction would hit middle-class voters in high-tax states like New
York, New Jersey and California.
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"Why should I vote for something that would end up decimating my
district?" Representative Peter King of New York told Reuters. King said
he was urging colleagues who shared his concerns to join him in voting
against the budget plan.
Republican Representative Tom MacArthur of New Jersey told reporters on
Wednesday it was possible there were enough votes to block it. "It's got
to be close," he said.
But House Majority Whip Steve Scalise, the No. 3 Republican in the
chamber, predicted victory, and the Republican leadership set a vote for
10:30 a.m. (1430 GMT). "We're going to get it done," Scalise told Fox
News Channel.
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![](../images/102617pics/news_n19.jpg)
House Majority Whip Steve Scalise (R-LA) speaks at the Values Voter
Summit of the Family Research Council in Washington, U.S. October
13, 2017. REUTERS/James Lawler Duggan
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Republicans are working on a package that independent analysts say
would cut taxes for companies and individuals by up to $6 trillion
over the next decade, but detailed legislation is not expected to be
unveiled until next week.
Having been dealt a stinging defeat in an effort to repeal former
President Barack Obama's signature healthcare law, a win on taxes
would give Trump his first big legislative victory.
The battle within Trump's own party over the state and local income
tax deduction offers a preview of the tough fights ahead as
Republicans seek to do away with other popular tax breaks.
Republicans plan to cut the corporate income tax rate to 20 percent
from 35 percent and lower taxes for individuals, while giving
families a larger standard deduction. But they need to find ways to
make up for some of the lost revenue.
(Reporting by David Morgan; Additional reporting by Richard Cowan,
Amanda Becker and Susan Cornwell; Writing by Tim Ahmann; Editing by
Peter Cooney)
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