Free Republic

In the early hours of Saturday morning, the Senate passed a sweeping tax overhaul bill in largely party-line vote. Just one Republican, Tennessee Senator Bob Corker, voted against it on deficit concerns. The Congressional Budget Office estimated the bill would cost $1.47 trillion over a decade. Many Republicans continue to say the bill will pay for itself through greater economic growth, despite all analyses to the contrary. The final Senate bill differs from the tax bill passed by the House in mid-November. Those differences now must be reconciled and a final piece of legislation voted on by both chambers.

The House and Senate have now each passed different versions of Tax Cuts and Jobs Act. Both bills are big improvement to America’s out-of-date tax code and could boost the economy by almost 3 percent, leading to more jobs and higher wages for working Americans. Both bills cut taxes for individuals and businesses, largely repeal the state and local tax deduction, and allow businesses to invest more in the American economy through temporary expensing. The bills now head to a conference committee where a unified bill will be crafted. Here are some of the major differences you need to know...