11-17-2017, 03:12 PM
Estate tax
The Senate bill would double the estate-tax exemption for wealthy estates from $11 million to $22 million per couple (or from $5.5 million to $11 million per individual) while the House bill would repeal the estate tax entirely.
Moderate Sen. Susan Collins (R-Maine) last week said she opposed getting rid of the estate tax entirely.
Corporate tax rate
The Senate would cut the corporate tax rate to 20 percent, like the House would, but delay its implementation until 2019 to reduce the projected cost of the bill over ten years.
The House would cut the corporate tax rate next year.
Pass-through businesses
The Senate would establish a 17.4 percent deduction for pass-through businesses based on the Section 199 domestic manufacturing deduction that would lower the effective tax rate for small businesses in the top tax rate to slightly more than 30 percent, according to a Senate Finance Committee aide.
It would apply to certain domestic non-service pass-through income, according to the committee.
The House bill, by contrast, would establish a 25 percent rate for pass-through companies but would only make 30 percent of their revenue eligible for that rate and tax the other 70 percent as wages under the individual tax rate. That would result in a blended rate for many small businesses between 35 percent and 38 percent.
The National Federation of Independent Business (NFIB), which contributes money overwhelmingly in favor of GOP candidates, complained the House bill “leaves too many small businesses behind.”
On Thursday the group said, “We are very encouraged by the plan introduced by [Senate Finance Committee] Chairman [Orrin] Hatch [R-Utah.].” UPDATE: The House on Thursday adopted an amendment to provide additional relief to small businesses and won back the support of NFIB. It would create a new nine-percent tax rate for the first $75,000 of income of a married active owner who has less than $150,000 of pass-through income.
Source: http://thehill.com/policy/finance/359725...-house-tax-