The bartender is about to ring the bell for last call on comments to the House Committee on Ways and Means Republican Tax Teams. Tomorrow marks the deadline to weigh in with the 10 GOP working groups directed to "study key tax provisions from the 2017 Trump tax cuts that are set to expire in 2025 and identify legislative solutions." All of this is in preparation for the "Super Bowl of Tax," next year's multi-trillion-dollar showdown in Congress over the expiration of major tax relief provisions in the Tax Cuts and Jobs Act (TCJA) and the campaign tax proposals of the next president.

The Teams were set up six months ago. Chairman Jason Smith (R-MO) notes that the Teams, which focus on manufacturing, global competitiveness, innovation, supply chains, and other broad topics, have held more than 90 events across the nation in 17 states. But happens next?

The comments submitted won't be publicly disclosed, though many, if not all, major business trade associations have released their submissions for maximum impact. Most of the comments by stakeholders have been unsurprisingly broad, defend-your-turf submissions that argue the merits of extending various TCJA provisions while also constructing a firewall against revenue raisers that would undo major parts of the law. Many stakeholders have, or plan to, share their comments with the other taxwriting committee staffs.

For many stakeholders, submitting comments is an important member-education exercise. As taxwriters and their staffs sift through these comments, it's important to keep in mind that positions of TCJA stakeholders may go back years or even decades, but many on the Committee on Ways and Means joined the panel after the law was enacted. Next year, only a dozen or so members of the 43-seat tax panel will still be serving since passage of the TCJA. 

With the comment deadline at hand, we don't expect any public release of detailed proposals or analyses from the Joint Committee on Taxation (JCT) in the near future. Most of the work will happen behind the scenes, and much of it will hinge on the election outcome.

If Republicans hold or add to their majority in the House after the election, we expect a reemphasis on the work of the Tax Teams and perhaps some forthcoming broad recommendations or policy goals. However, if Republicans lose control of the House, it is unclear what role the work of these Teams will have, although at a minimum it may arm GOP members with a strategy to defend the 2017 law.

In the Senate, Republican taxwriters are taking a less public approach. In May, Finance Committee Ranking Member Mike Crapo (R-ID) indicated he was arranging a half dozen informal GOP working groups reportedly focusing on individual taxes, business measures, international tax, retirement, community development, and energy. Since then, the work of these groups has been behind the scenes and without a formal process for stakeholders to submit comments.

Democratic tax leaders in Congress have not implemented formal team or working groups but are certainly spending significant time in their preparations for next year's tax battle.

The results of November's elections will have a profound impact on how Congress addresses the TCJA. It's not too late to make your views known to the House GOP Tax Teams, but the door is closing fast. #TaxTake

Upcoming Speaking Engagements and Events 

Marc will speak at the 59th Annual Southern Federal Tax Institute on October 21 and Loren will speak at the Tax Executives Institute's 79th Annual Conference on October 28.

In the News

Jorge commented on the elections impact on taxes and highlighted the differences in tax proposals from Donald Trump and Kamala Harris in MarketWatch. 

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