Senate moves tax cut legislation to brink of final passage — REP. COFFMAN VOTES ‘YES’ — Colorado delegation comments

WASHINGTON | Jubilant Republicans pushed on early Wednesday to the verge of the most sweeping rewrite of the nation’s tax laws in more than three decades, a deeply unpopular bill they insist Americans will learn to love when they see their paychecks in the new year. President Donald Trump cheered the lawmakers on, eager to claim his first major legislative victory.

After midnight, the Senate narrowly passed the legislation on a party-line 51-48 vote. Protesters interrupted with chants of “kill the bill, don’t kill us” and Vice President Mike Pence repeatedly called for order. Upon passage, Republicans cheered, with Treasury Secretary Steve Mnuchin among them.

Senate Majority Leader Mitch McConnell, R-Ky., insisted Americans would respond positively to the tax bill.

“If we can’t sell this to the American people, we ought to go into another line of work,” he said. Trump hailed the vote in an early morning tweet and promised a White House news conference Wednesday after the House completes legislative action on the measure.

The early morning vote came hours after the GOP rammed the bill through the House, 227-203. But it wasn’t the final word in Congress because of one last hiccup.

Aurora’s Republican Congressman Mike Coffman voted for the measure, which dissolves the Obamacare insurance mandate as part of the bill.

Coffman previously said he thought Congress should deal with health care and tax reform separately, but because the GOP tax plan’s repeal of the individual mandate isn’t effective until 2019 — unlike other parts of the bill — there is time “to come up with a substitute.” He told the Sentinel some working groups are looking at proposals to stabilizing the individual market.

On numerous analyses that insist the plan will grow the national deficit anywhere from $1 trillion to $2.2 trillion over 10 years, Coffman said the pros of the bill still outweigh the cons.

“I think this economy is going to perform a lot better,” he said, adding that a reassuring factor was that the economy is slated to grow, which will increase revenue.

And while many tout, and some analyses point out, the plan was a much better deal for corporations than middle-class families, Coffman said the basis of the legislation is not trickle-down economics because the tax tables have changed and the standard deduction has doubled, as has the child tax credit.

“It’s going to make a big difference to the average individual,” he said.

Coffman added that the tax cuts to corporations are “essential to making them globally competitive.”

Colorado Delegation Votes

NO: Sen. Michael Bennet, Democrat

YES: Sen. Cory Gardner, Republican

NO: U.S. Rep. Diana DeGette 1st CD, Democrat

NO: U.S. Rep. Jared Polis 2nd CD, Democrat

YES: U.S. Rep. Scott Tipton, 3rd CD, Republican

YES: U.S. Rep. Ken Buck, 4th CD, Republican

YES: U.S. Rep. Doug Lamborn, 5th CD, Republican

YES: U.S. Rep. Mike Coffman, 6th CD, Republican

NO: U.S. Rep. Ed Perlmutter, 7th CD, Democrat

 

COLORADO COMMENT:

Congressman Republican Mike Coffman: “I am proud to support H.R. 1 because it will help working families by lowering their tax rates, doubling the child tax credit and standard deduction, and even more importantly it will increase jobs and wages by reducing the tax burden on American small businesses.”

Congressman Democrat Ed Perlmutter:“ This is nowhere close to real tax reform that Colorado families and businesses have been seeking. It doesn’t simplify the tax code or make it more conducive for economic growth. In many ways, it adds more loopholes and rigs the system even more against hardworking families. Since Republicans took control of the legislative and executive branch in January, I believe they have missed many opportunities to help hardworking families and grow the economy. This is just one more missed opportunity that will have consequences for years to come.”

Colorado Democratic Party Executive Director Pilar Chapa: “Under this bill, millionaires and corporations get a massive tax gift from Uncle Sam, while hardworking Coloradans get a lump of coal. The meager benefits for middle-class and working families will expire after a few years, ultimately resulting in higher taxes for a majority of Americans. Meanwhile, millionaires, billionaires, and corporations get a massive permanent tax cut, and Paul Ryan has already said he is going after Medicare and Medicaid to pay for it. In 2018, we will be laser-focused on the contrast between the Democrats’ agenda to help middle-class and working families and the GOP’s attempt to rob the middle class to help the rich.”

Colorado Democratic Sen. Michael Bennet: “Tax reform should have addressed the real challenges in our economy by helping a middle-class family in Colorado afford housing, health care, child care, and higher education, while saving enough for a secure retirement. This legislation is yet another appalling example of how profoundly decoupled the Republican priorities in Washington are from the priorities of the American people. This bill burdens our children with $1.4 trillion in debt to cut taxes for the wealthiest businesses and individuals in America. It’s as if my wife and I lived in our house but then asked our kids to pay the mortgage.”

Colorado Republican Sen. Cory Gardner: “After 31 years, the American people will no longer be forced to deal with an Atari-era tax code that is outdated and overly complicated. Congress has finally answered the call to cut taxes and reform the tax code, and I’m proud to help deliver this relief to all of Colorado. At the beginning of this process, my goal was to bring relief to hardworking Coloradans throughout the four corners of our great state, and I’m proud that after months of work we have achieved this goal. Coloradans at every income level will receive a tax cut and popular provisions that help hardworking Coloradans like greater tax relief for childcare services, the student loan interest deduction, the medical expense deduction, and tax breaks for teachers are all part of the final bill. After years of complacency and being told we have to accept meager economic growth, the American people will once again see their economy accelerate. This tax relief package will lead to economic growth, higher wages, and more jobs. The American people sent their representatives to Washington to bring relief and I’m proud to have delivered on this promise during the first year of a unified Republican government.”

FROM TWITTER:

After 31 years, the American people will no longer be forced to deal w/ an Atari-era tax code that is outdated and overly complicated. Congress has finally answered the call to cut taxes and reform the tax code, and I’m proud to help deliver this relief to all of Colorado. pic.twitter.com/dI5quEFz0X

— Cory Gardner (@SenCoryGardner) December 20, 2017

.@SenateGOP just passed #GOPTaxBill – yet another appalling example of how profoundly decoupled the Republican priorities in Washington are from the priorities of the American people. pic.twitter.com/iiLmPsjOPs

— Michael F. Bennet (@SenBennetCO) December 20, 2017

@RepMikeCoffman just voted in favor of the #GOPTaxScam. Help me hold him accountable. I’m running to represent people I grew up with and the people who, like me, have chosen to raise kids here. https://t.co/MvidrX9cRN#Election2018 #copolitics #co06 #FlipItBlue #FlipTheHouse

— David Aarestad (@DavidAarestad) December 19, 2017

BREAKING: @HouseGOP passes the #GOPTaxScam with zero Democratic support. The Senate votes next on massive giveaway to corporations and the ultra-rich at the expense of the middle class. We must continue raising our voices in opposition.

— Rep. Diana DeGette (@RepDianaDeGette) December 19, 2017

BREAKING: Republicans in the House of Representatives passed a tax scheme that grows the national debt by over $1.5 trillion. It gives handouts to corporations & special interests while plunging our nation deeper in debt & hitting many middle class families w/ tax hikes.

— Rep. Jared Polis (@RepJaredPolis) December 19, 2017

Congress listened to the American people and simplified our complicated tax code. This is a historic day for our country. Moving forward we can expect bigger paychecks and filing taxes will be as easy as sending a postcard. pic.twitter.com/PUHdgZbCBg

— Rep. Doug Lamborn (@RepDLamborn) December 19, 2017

I’m voting NO on the #GOPTaxBill because it will raise taxes on 86 million hardworking families, increase health care costs by repealing the individual mandate, and increases the deficit by at least $1.5 trillion. This is a bad deal for families in CO & across the country. pic.twitter.com/mVRpt9s91k

— Rep. Ed Perlmutter (@RepPerlmutter) December 19, 2017

I voted today for the Tax Cuts and Jobs Act because it makes the tax code simpler and fairer for American families, it encourages companies to keep jobs in America through a more equitable business tax rate, and it offers lower taxes for Americans. pic.twitter.com/PklR0zTx5o

— Congressman Ken Buck (@RepKenBuck) December 19, 2017

Three provisions in the bill, including its title, violated Senate rules, forcing the Senate to vote to strip them out. So the massive bill was hauled back across the Capitol for the House to vote again on Wednesday, and Republicans have a chance to celebrate again.

Hours earlier, House Speaker Paul Ryan, who has worked years toward the goal of revamping the tax code, gleefully pounded the gavel on the House vote. GOP House members roared and applauded as they passed the $1.5 trillion package that will touch every American taxpayer and every corner of the U.S. economy, providing steep tax cuts for businesses and the wealthy, and more modest help for middle- and low-income families.

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Despite Republican talk of spending discipline, the bill will push the huge national debt ever higher.

“This was a promise made. This is a promise kept,” Ryan and other GOP leaders said at a victory news conference.

After the delay for a second House vote, the measure then heads to Trump, who is aching for a big political victory after 11 months of legislative failures and nonstarters. The president tweeted his congratulations to GOP leaders and to “all great House Republicans who voted in favor of cutting your taxes!”

Congressional Republicans, who faltered badly in trying to dismantle Barack Obama’s Affordable Care Act, see passage of the tax bill as crucial to proving to Americans they can govern — and imperative for holding onto House and Senate majorities in next year’s midterm elections.

“The proof will be in the paychecks,” Sen. Rob Portman, R-Ohio, said during the Senate’s nighttime debate. “This is real tax relief, and it’s needed.”

Not so, said the top Senate Democrat as the long, late hours led to testy moments.

“This is serious stuff. We believe you are messing up America,” New York Sen. Chuck Schumer told Republicans, chiding them for not listening to his remarks.

The GOP has repeatedly argued the bill will spur economic growth as corporations, flush with cash, increase wages and hire more workers. But they acknowledge they have work to do in convincing everyday Americans. Many voters in surveys see the legislation as a boost to the wealthy, such as Trump and his family, and a minor gain at best for the middle class.

“I don’t think we’ve done a good job messaging,” said Rep. Greg Walden, R-Ore. “Now, you’re able to look at the final product.”

Ryan was positive, even insistent. He declared, “Results are what’s going to make this popular.”

Democrats called the bill a giveaway to corporations and the wealthy, with no likelihood that business owners will use their gains to hire more workers or raise wages. And they mocked the Republicans’ contention that the bill will make taxes so simple that millions can file their returns “on a postcard” — an idea repeated often by the president.

“What happened to the postcard? We’re going to have to carry around a billboard for tax simplification,” declared Rep. Richard Neal of Massachusetts, the top Democrat on the Ways and Means Committee.

Tax cuts for corporations would be permanent while the cuts for individuals would expire in 2026 to comply with Senate budget rules. The tax cuts would take effect in January, and workers would start to see changes in the amount of taxes withheld from their paychecks in February.

For now, Democrats are planning to use the bill in their campaigns next year. Senate Democrats posted poll numbers on the bill on a video screen at their Tuesday luncheon.

“This bill will come back to haunt them, as Frankenstein did,” House Democratic leader Nancy Pelosi said.

The bill would slash the corporate income tax rate from 35 percent to 21 percent. The top tax rate for individuals would be lowered from 39.6 percent to 37 percent.

The legislation repeals an important part of the 2010 health care law — the requirement that all Americans carry health insurance or face a penalty — as the GOP looks to unravel the law it failed to repeal and replace this past summer. It also allows oil drilling in the Arctic National Wildlife Refuge.

The $1,000-per-child tax credit doubles to $2,000, with up to $1,400 available in IRS refunds for families that owe little or no taxes.

Disgruntled Republican lawmakers from high-tax New York, New Jersey and California receded into the background as the tax train rolled. They oppose a new $10,000 limit on the deduction for state and local taxes.

GOP Rep. Peter King of New York conveyed what people in his Long Island district were telling him about the tax bill: “Nothing good, especially from Republicans. … It’s certainly unpopular in my district.”

The bill is projected to add $1.46 trillion to the nation’s debt over a decade. GOP lawmakers say they expect a future Congress to continue the tax cuts so they won’t expire. That would drive up deficits even further.

The bill would initially provide tax cuts for Americans of all incomes. But if the cuts for individuals expire, most Americans — those making less than $75,000 — would see tax increases in 2027, according to congressional estimates.