In Major Victory For Trump, Senate Passes "Sweeping" Tax Bill Which Nobody Read: Here's What's In It

Shortly before 2am on Saturday, the Senate passed "the most sweeping rewrite of the U.S. tax code in three decades, slashing the corporate tax rate and providing temporary tax-rate cuts for most Americans" handing Republicans a badly needed legislative and political victory. Senators voted across party lines in a 51-49 vote, ending days of debate and "hand wringing" as leadership worked frantically behind the scenes to win over holdouts and get the proposal in line with the chamber’s rules.

Tennessee Senator Bob Corker, who had cited concerns over the bill’s effects on federal deficits, was the only Republican dissenter. Corker, who is retiring after 2018, said in a statement ahead of the vote that he "wanted to get to yes" on the tax plan. "But at the end of the day, I am not able to cast aside my fiscal concerns and vote for legislation that I believe, based on the information I currently have, could deepen the debt burden on future generations,” he said.

Corker's dissent however was not enough to halt passage, and shortly thereafter Vice President Mike Pence presided over the final passage vote. GOP senators, who stayed on the Senate floor until the vote closed after midnight, broke out into applause after Pence announced the bill had passed.  

"This is a great day for the country," Majority Leader Mitch McConnell (R-Ky.) said during a 2 a.m. press conference after the vote.  "We have an opportunity now to make America more competitive, to keep jobs from being shipped off shore and to provide substantial relief for the middle class."

The bill would lower tax rates for individuals through 2025 and permanently cut the corporate tax rate from 35% to 20% (more details below). The bill’s tax cuts for individuals are temporary in order to comply with budget rules that the measure can’t add to the deficit after 10 years. The bill would also repeal ObamaCare’s individual mandate, a priority for President Trump and many Republicans.

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The vote brings the GOP close to delivering a much-needed policy win for their party and President Donald Trump. After the vote, Trump said on Twitter that he looks forward to signing a final bill before Christmas. The president expressed gratitude to McConnell and Finance Committee Chairman Orrin Hatch for steering the measure through the Senate. “We are one step closer to delivering MASSIVE tax cuts for working families across America,” Trump wrote on Twitter.

On Saturday morning, Trump followed up his praise to the Senate GOP, tweeting the "Biggest Tax Bill and Tax Cuts in history just passed in the Senate. Now these great Republicans will be going for final passage. Thank you to House and Senate Republicans for your hard work and commitment!"

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Amid the republican jubilation over the passage of a bill which is heavily weighted to benefit corporations and pass-throughs, and will encourage all self-employed businesses to become LLCs, there was juist one problem: nobody actually read the 479-page bill.

As Montana Senator Jon Tester wrote late on Friday:

NY Governor Andrew Cuomo showed what the "handwritten notes on the page" looked like:

Commenting on this, Senate Democrat Charles Schumer noted that a set of last-minute revisions to the bill changed it in ways that had yet to be analyzed by the Joint Committee on Taxation, Congress’s official scorekeeper for the effects of tax legislation. “Is this really how Republicans are going to rewrite the tax code? Scrawled like something on the back of a napkin?” However, McConnell said the bill, the first text of which was introduced on Nov. 20, went “through the regular order.” He dismissed complaints like Schumer’s. “You complain about process when you’re losing,” McConnell said.

Bottom line: the chaotic process was similar to how Obamacare was passed on Christmas Eve in 2009: in fact maybe a slight improvement: at least this time Congress didn't have to "pass the bill to find out what is in it." And it's not like anyone reads these bills anyway.

So what happens next?

Before it goes to Trump, lawmakers will have to reconcile differences between the Senate bill and one the House passed last month, a process that will begin Monday. Although both versions share common topline elements, negotiations on individual provisions inserted to win votes, particularly in the Senate, may be protracted and difficult. The final product will end up being a central issue in the 2018 elections that will determine control of Congress.

“We’re going to take this message to the American people a year from now,” Senate Majority Leader Mitch McConnell said after the vote.

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Among the major overhauls, both the House and Senate measures would cut the corporate tax rate to 20% from 35% - though the Senate version would set that lower rate in 2019, a year later than the House bill would. Also, the Senate bill, unlike the House version, would provide only temporary tax relief to individuals, ending tax cuts for them in 2026. Both bills are expected to add more than $1.4 trillion to the federal deficit over 10 years, before accounting for any economic growth. Bloomberg reported that last minute revisions to help shore up GOP support added about $32.5bn to the measure’s 10-year cost, according to a one-page analysis from the Congressional Budget Office.

The House and Senate bills also align on the contentious issue of individual deductions for state and local taxes: They’d eliminate all but a deduction for property taxes, which would be capped at $10,000. They differ on the home mortgage-interest deduction; the House bill would restrict that break to loans of $500,000 or less with regard to new purchases of homes. The Senate legislation would leave the current $1 million cap in place.

According to Bloomberg, the bills also differ on the tax rates they’d apply to multinational companies’ accumulated offshore earnings. The House bill would tax those profits at 14 percent for earnings held as cash and 7 percent for less-liquid assets. The revised Senate bill contains a lengthy section that has no direct mention of the rates, but a person familiar with the Senate plan said they’d be 14.5 percent for cash and 7.5 percent for less-liquid assets.

The Senate also approved a 23% tax deduction on business income earned from partnerships, limited liabilities and other so-called pass-through businesses. The House version would create a 25% tax rate for such business income, with restrictions on which businesses could qualify. Small businesses would get extra relief under the House legislation as well.

The House bill would also eliminate the estate tax, while the Senate version would limit the tax to fewer multimillion-dollar estates, but leave it in place. And after 2025, the limits would lift. Under current law, the estate tax applies a 40% levy to estates worth more than $5.49 million for individuals and $10.98 million for married couples. The Senate bill would temporarily double the exemption thresholds. The House bill would double the exemption thresholds, and then repeal the tax entirely in 2025.

As discussed previously, the House bill would consolidate the current seven individual tax brackets to four, leaving the top tax rate at 39.6%. The Senate bill would have seven brackets - with lower rates, and a top rate of 38.5 percent. As Bloomberg notes, "studies have shown that many of the tax bill’s benefits would go to the highest earners - and some middle-class taxpayers might actually pay more - a finding that could impact the House-Senate talks."

Most importantly, perhaps, the Senate bill includes a repeal of Obamacare’s mandate that most Americans have health insurance or pay a penalty. The House bill does not.

Here is a side-by-side comparison of the two plans thanks to the WSJ:

Also while we have yet to get confirmation, below is a list of last minute changes and revisions that made it into the final bill per Reuters:

  • PASS-THROUGHS: Senators Ron Johnson and Steve Daines announced their support for the tax bill after securing agreement on a bigger tax break for the owners of pass-through enterprises, including small businesses, S-corporations, partnerships and sole-proprietorships. An original 17.4 percent deduction would rise to 23 percent.
  • FULL EXPENSING: Senator Jeff Flake, who was a holdout over deficit concerns, agreed to vote "yes" after Republican leaders agreed to change a provision allowing the full expensing of business capital investments to sunset after five years. Flake worried that Congress would be unable to eliminate the benefit cold turkey, allowing it to bleed red ink for years to come. But the Arizona Republican says the change would instead phase out full expensing over three years beginning in year six.
  • RETIREMENT SAVINGS: Senator Susan Collins said she persuaded Republican leaders to retain catch-up contributions to retirement accounts for church, charity, school and public employees.
  • MEDICAL EXPENSES: Collins also said she was able to include language to reduce the threshold for deducting unreimbursed medical expenses for two years to 7.5 percent of household income from 10 percent.
  • STATE AND LOCAL PROPERTY TAXES: Collins has proposed an amendment that would retain a federal deduction for up to $10,000 in state and local property taxes.
  • INDIVIDUAL ALTERNATIVE MINIMUM TAX: Rescinding a proposed repeal of the AMT and instead increase exemption levels and phase-out thresholds is also on the table.
  • CORPORATE ALTERNATIVE MINIMUM TAX: So is rescinding a proposed repeal of the corporate AMT.
  • REPATRIATION: Another change could be to increase tax rates on U.S. corporate profits held overseas to 14 percent for liquid assets and 7 percent for illiquid holdings, up from 10 percent and 5 percent, respectively

Attention now shifts to a House-Senate conference committee - a specially appointed, temporary panel that will be charged with hashing out the differences in the bills and preparing a final version for both chambers to consider. Party leaders will select a small group of lawmakers, likely from the House and Senate tax-writing panels in each chamber, who would then be approved by each chamber. That work could start as early as Monday, with many high-stakes issues to be worked through. The deadline of Dec. 31 is an artificial one, though - aimed partly at securing a victory well in advance of the 2018 congressional elections. Republicans would have until the end of 2018 before they lose their ability to clear final passage in the Senate without a filibuster.


Buckaroo Banzai Shocker Sat, 12/02/2017 - 11:17 Permalink

Given that the recently-declared verdict in the Kate Steinle case has given full legal sanction to the murder of whites by non-whites in "sanctuary cities", I'm really not that concerned about a fucking tax bill anymore. Whether we like it or not, the anti-whites have just fired the official opening shots of RAHOWA.

In reply to by Shocker

Paul Kersey IH8OBAMA Sat, 12/02/2017 - 16:14 Permalink


Ryan Grim, The Intercept

"Senate Majority Leader Mitch McConnell, R-Ky., said Friday afternoon Senate Republicans have the votes to pass the plan, which gets referred to as only a $1.5 trillion cut because it raises $4.5 trillion in taxes elsewhere. But the key question is who gets a tax hike and who gets a tax cut. Put simply, the bulk of the tax cut is going toward the rich, while the tax increases go to everybody else."

In reply to by IH8OBAMA

Paul Kersey MK13 Sat, 12/02/2017 - 18:00 Permalink

Total horse shit. The Intercept nails both parties. It's probably the only unbiased news, so, if you can find fake news on that site, then please post it.

There is only one real party, Deep State, and the two faux parties are the right and left arms of Deep State. A truth seeker will read both the right and left blogs, and vet the lies coming from both sides. Fuck the Clintons, the Bushes, the Obamas and the Trumps. They are all well paid crooks and servants of Deep Corporate State.

In reply to by MK13

Bring the Gold Buckaroo Banzai Sat, 12/02/2017 - 16:02 Permalink

You're the perfect brown shirt. You will follow the Right Wing government's purge and be astounded that all your problems weren't caused by muslims, black people and gays who have perhaps 5% of power in the country, but by the very people you think are on your side. When the dust has settled and Holocaust 2.0 has been completed you will be astonished to find you are soaked in blood not of your enemies, but of your fellow Americans and you have empowered a fascist government that will liquidate you the moment you disagree with them. Comments like this let me know our country is doomed. It also isn't going to address the influence of Israel who has been pulling the puppet strings of the Republican and lately Democratic parties for about 30 years now. Wake the fuck up who's useful idiot are you? Netanyahu's and they are laughing all the way to the bank they own.

In reply to by Buckaroo Banzai

shamus001 Bring the Gold Sat, 12/02/2017 - 16:44 Permalink

Go blow yourself you anti-semitic libtard! Ive been getting reamed by the left and all the maniacal minorities screaming in city square to rape whites, take our homes, our money, our children, reverse racism has been an affliction for ten years now. If those who plead victomhood (left/ minorities/gays) when given the TEN year opportunity to make things better, only filled the shoes of those they claimed were oppressing them. Dont play the fiddle now that the coin is turned. Im choosing the side that has my back and wont let freaks murder us, or attack us. When a war begins, you must choose a side, or be looted by both sides.So eat $hit! Republicans, Gold God & guns for my household! Gays, welfare, and globalism theft for yours...I'll meet u in the field soon when your Soros master has managed to gather some lgbq's with spines.

In reply to by Bring the Gold

Bring the Gold shamus001 Sat, 12/02/2017 - 18:33 Permalink

If you think the chumps screaming idiocy on the college campuses wield any power you're a fucking idiot. The power is wielded by the wealthy and the politicos and those are all Inverted Totalitarians. While you are wanting to punch mexicans and gays and they want to stomp out Christians the bankers and politcos are laughing at you. They've been pulling this shit for like 200 years when are you fucking idiots gonna wake up? My son is 1/2 Jewish so gtfo with your anti-semitic bullshit. Israel is run by far right Synagogue of Satan types and having NOTHING to do with Jewish people anymore than Rockefeller and other WASPS have zero to do with you and that's who those people on the campuses should be hating just as YOU should be hating your corporate slave owners, but no you are too fucking stupid to see it and gobble up divisive bullshit. The wealthy will be fine if there is a Civil War, they always do fine hence they don't care, but you will be drenched in the blood of your fellow Americans and when victorious (if your fake side wins agains the other fake side) you will see all you did is assist the Wealthy in their Eugenic population reduction you fucking idiot.

In reply to by shamus001

Escrava Isaura Shocker Sat, 12/02/2017 - 10:31 Permalink

See if I got this right: Thanks to Trump Obama and the guy from New York that wants to impeach Trump got a tax break. So did the Obama’s daughters Sasha and Malia. While the working class got in the rear. I am speechless. I didn’t think it could be possible that the current inequality could grow even larger by giving tax breaks. I would think that by now people would/should know better.   

In reply to by Shocker

overbet Escrava Isaura Sat, 12/02/2017 - 12:29 Permalink

Most "poor" people in the USA get a tax rebate. Most middle class pay in. This system is already transfering enough wealth to non producer from the working middle class. The gap between the "poor" in America and the paying in working class is very small. This is a step in the right direction for the working middle class. The "poor" in America live as well sometimes better than those willing to work and they are being shit on through this wealth transfer scam. Ghetto mamas at Walmart drving new cars and getting their nails done popping out babies versus the single mom waitress or nurse. Emphasis on the word poor because in the USA poor does not come remotely close to destitute. I am damn glad no longer have to pay for low lifes insurance. By the time Trump is done, Obama's legacy will consist on men in women's restrooms. Up next week National Reciprocity CCW bitches!…  

In reply to by Escrava Isaura

Bring the Gold overbet Sat, 12/02/2017 - 16:16 Permalink

God people who like this are giant fucking idiots. If you aren't able to take advantage of the corporate side of these tax breaks, I assure you in one way or another this is going to fuck you. I also love how you are exalting in starving poor people. It's like you fucking idiots want a Civil War. If you live in a big house which I assume from your giving zero fucks about the poor, let me tell you, they WILL come for you. Meanwhile Rothschild and Rockefeller who ACTUALLY benefit from this willl be safe in a Swiss Chalet. Easily duped rubes. 

In reply to by overbet

Bring the Gold overbet Sat, 12/02/2017 - 18:35 Permalink

Right as every safety net is shut down. Most poor people live in lead paint filled houses, with industrial waste around them draining their IQ, throw in fluoridated water, mercury and aluminum in vaccines, and pesticide soaked GMO crops plus processed food and cut education and you expect the Poor to better themselves? Pay fucking attention because they will come for you as soon as they have ground the poor into dog food you fucking idiot.

In reply to by overbet

MK13 Escrava Isaura Sat, 12/02/2017 - 11:10 Permalink

Current inequality is largely to federal reserve zero interest rate policies and money skimmed from corrupt government contracts/handouts.

Changing tax rates will do nothing to change this - inequality is due to federal reserve and dem backed government expansion.

But why would you point the finger at the obvious, Brazilian Joo?

In reply to by Escrava Isaura

Escrava Isaura MK13 Sat, 12/02/2017 - 11:27 Permalink

The current inequality has nothing to do with zero interest rates. The current inequality has to do with the direction of the Fed’s window-guidance. Fed window-guidance is not pointing towards GDP growth but financial speculation. Do stocks and Bitcoin ring a bell?   Changing tax rates will do nothing to change this - inequality is due to federal reserve and dem backed government expansion.   Correct. As I said, it will make the inequality wider. You’re correct that government expansion creates inequality. However, I blame the inequality growing wider on the stupidity of the average conservative voter.  
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In reply to by MK13

Endgame Napoleon Escrava Isaura Sat, 12/02/2017 - 11:48 Permalink

If you are an unmarried [individual], not a so-called “working” family, struggling to cover rent that absorbs half of more of your monthly wages in states with a per capita income of between $18k and $20k, like TX, TN, AL, MI, IN, etc., you will not see enough tax savings to cover even one minor bill. You will barely notice the difference, as with Obama’s 2008 stimulus.

Homelessness will continue to rise among this group of US citizens. But more low-wage, part-time jobs might be available for moms with spousal income or child support that covers rent and the part-time-worker moms who get multi layers of monthly welfare that covers rent, groceries, electricity, etc., in addition to tax welfare for sex and reproduction out of wedlock.

If you are a single mom or a legal / illegal immigrant household with a sole, male earner, getting layers of welfare to cover your rent and groceries [etc.] to reward you for having sex, reproducing and working 20 or less hours per week to stay below the less-than-$1,000-per-month income limit for welfare, you will continue to enjoy a child tax credit for womb productivity of between $3,400 [for producing one child to compete with robots for future jobs] to $6,318 [for 3 or more kids produced to compete with robots for jobs].…

If you are married and fall within the income limits, usually via a mom who only works part time and for low wages, the US Treasury Department will pay you an increased amount through a child tax “credit” for having sex and reproducing, increasing the amount the more you have sex and reproduce, doing it through the welfare side of the tax code, as it does for the single moms.

When the deficit blows up even beyond $1.4 trillion, threatening to destroy the economy, citizens who have PAID INTO SS and Medicare all of their lives on every penny made up to the SS cap, with the self-employed paying twice as much - 15.3% [as opposed to the 7.65% paid by these “working families” who get $6,318 checks from the US Treasury Department for having sex and reproducing while working part-time jobs — will be crushed in retirement.

Then we will hear all of these FAKE CONSERVATIVES who chanted “families, working families and America’s hard-working families” every 2 minutes during their floor debate, while rewarding sex and reproduction thtough the tax code with massive estate tax reductions for ultra-rich parents and relatively huge child-tax-credit checks that equal 4 months of full-time wages for an individual in a $9-per-hour job for low-income parents who cannot afford multiple children.


If you critique it, you just hate babies.

They looted the US Treasury to provide more child tax credits that are often spend on beach trips with boyfriends and tattoos for the PARENTS at low end and on yachts and frolicking in Europe by the heirs of parents getting a high-end, sex-and-reproduction tax cut, as opposed to the low-end tax welfare for sex and reproduction.

This is one more way to keep wages at a 40-year low, record-low productivity rates and historically low workforce-participation rates among citizens at the rock-bottom status-quo level.

But when it blows up the deficit, the excuse they will use when dismantling the old-age poverty alleviation programs that people pay into from every dime they earn up to the $127,200 cap will be their kids’ future, their Treasury-looting excuse of choice.

They got this tax cut passed for their heirs, their donors’ heirs and for the pay-per-birth, part-time citizen and immigrant parents at the bottom. They worked HARD for THAT.

They claim that this corporate tax cut will mean more jobs, although no provisions are tied to creating QUALITY, full-time jobs with wages sufficient to cover rent for American citizens, and nothing has been done to reduce the 1-million-per-year number of new, legal immigrant job takers or the millions of illegal immigrant job takers who will continue to be rewarded for accepting low wages through monthly welfare and tax welfare for sex and reproduction, just like the part-time-worker citizen parents.

These Swampians, like aristocrats of yore, work hard to entrench wealth for aristocratic parents and their lineage. They work hard to pay citizen and non-citizen serfs for sex and reproduction, using the organs of the Republic to create deep unfairnesses and rigging in a job market that pays the vast majority of workers only enough to supplement spousal income or welfare and child tax credits.

In reply to by Escrava Isaura

CatInTheHat Endgame Napoleon Sat, 12/02/2017 - 12:58 Permalink

You obviously benefit by this travesty of a bill.I hear 'welfare' state here repeatedly.Bill Clinton did away with that 25 years ago, where ya been???There was no reform with Clinton's bill. ZERO. The average cash payment for a family of three is $427.00 a month. No ONE could live on that. And the requirements to receive such a generous grant are so strict most don't qualify. SNAP is a program where most of the recipients are lower  income HARDWORKING FAMILIES. That is gone in this bill too and with the mandate repealed (in a tax bill???) millions will lose their healthcare.Medicare and Medicaid are also gone in this bill. Since the greedy fuckers have to find a way to cover a bill that adds 1.3 TRILLION to the deficit, the 1.5 TRILLION spent on Medicare Medicaid, SNAP, Housing will be gone. Right as the population of homelessness is on the rise and is the highest since the depression. And with this bill, millions more will lose their homes.And of course this is just a short list This was a give away to the rich. The looting of the treasury and the tax cuts illl be paid by those making $30,000 a year or less. These POS legislation always land on the backs of the poor, those who work hard, but barely make enough to survive.This bill also fucks graduate students up the ass.None of these fuckers in Congress are concerned about their seats, otherwise the bill would never have passed.  With rigged and fake elections, why would they worry? Only people who benefit and lack empathy could be joyful about a bill that will harm so many millions. 

In reply to by Endgame Napoleon

ZD1 CatInTheHat Sat, 12/02/2017 - 16:11 Permalink

"The average cash payment for a family of three is $427.00 a month. No ONE could live on that." Source?The Cato Institute found that in many states, it pays better to be on welfare than it does to work.… reports on welfare focus on only a single program, the cash benefit program: Temporary Assistance for Needy Families. This focus leaves the misimpression that welfare benefits are quite low, providing a bare, subsistence-level income. In reality, the federal government funds 126 separate programs for low-income people, 72 of which provide either cash or in-kind benefits to individuals.Because there are so many categories of welfare recipients and so many different types of benefits, it is extremely difficult to determine how many people get what combination of benefits. Don't forget that many people also work under the table while getting welfare benefits. 

In reply to by CatInTheHat

DelusionsCrowded Endgame Napoleon Sat, 12/02/2017 - 19:59 Permalink

Is the DS working to discredit the Gov ? And bring the whole system down to do away with it ? Is Trump now on the DS program ?As an outsider he won the election by fluke (against all of the DS efforts ) , but now he's been introduced to the Bigger Game and has decided to go along with it ? So the loyal sheeple will follow his directions over the cliff without realizing he's now just the Newest Salesman for the NWO , which requires the destruction of the US constitution and our intergration into the World Gov ? 

In reply to by Endgame Napoleon

SheHunter Endgame Napoleon Sat, 12/02/2017 - 22:32 Permalink

I detest humans who rely on government subsidies being awarded for spitting out more and more and more babies.  A couple on welfare and women on welfare should be penalized for having children.  Not awarded.  Go ahead and downvote me.  It is a compliment to be downvoted by those of you brainwashed to believe that more children to the impoverished is a good thing.

In reply to by Endgame Napoleon

spastic_colon MagicHandPuppet Sat, 12/02/2017 - 10:45 Permalink

apparently the obummercare mandate repeal will save 300+ billion every ten repealing a tax will SAVE money lol.....just shows you what a complete facist farce the ACA is/was.and I am once again shocked that this was passed at 2am on a saturday morning/beginning of last month of a banking bonus season! now if they can agree to make this retro to Jan 1 the next quarters earnings season should be a non-GAAP bonanza for fake earnings!Also ZH this is old news you guys are slacking /s

In reply to by MagicHandPuppet

dirty fingernails chunga Sat, 12/02/2017 - 11:04 Permalink

Its beyond stacking the deck. Even here among the "awake" the red/blue dichotomy is petrified and holds an unshakable hold on minds and hearts. The willful ignorance and rejection of education make change impossible until a crisis hits that can't  be papered over or ignored. Then we will get jackboots for a while and then who knows, probably feudalism

In reply to by chunga

chunga dirty fingernails Sat, 12/02/2017 - 11:20 Permalink

That's especially true for the blue supporters, they simply don't care. The red supporters on the other hand I'm not so sure, they're pretty sick and tired of it and are more likely to stay home or go 3rd party in disgust.  Yesterday I checked in on a popular and staunch site full of red supporters and there was page after page of bashing, paritcularly aimed at Sessions.

In reply to by dirty fingernails