When he used the power of seniority to claim chairmanship of the Senate Finance Committee in the new session of Congress, Iowa’s Chuck Grassley said he wanted additional tax relief and tax fairness for Americans. “That means more middle-income tax cuts,” Grassley said on Tuesday, along with making permanent the cuts for individual taxpayers that were part of the 2017 tax-cut law but are due to expire at the end of 2025.
“There’s a real feeling [the 2017 law] didn’t go far enough,” said Grassley during a teleconference. Many farm groups share Grassley’s interest in making the 2017 cuts permanent. The tax cut doubled the standard deduction for individuals, doubled the estate tax exemption to $11 million, allowed the immediate tax write-off of the cost of new equipment, and kept a deduction for interest on loans. The law has been blamed for a sharp increase in the federal deficit.
Massachusetts Rep. Richard Neal, who is expected to chair the tax-writing Ways and Means Committee when Democrats take control of the House in January, has said he will prioritize healthcare. State House News Service quoted Neal as saying, “I will be unyielding in my defense of Social Security, Medicare, and Medicaid.”
Grassley raised the possibility that the 2018 farm bill could be rolled into a government-funding bill in order to assure passage. The spending bill is due by Dec. 7 to prevent a partial government shutdown. Farm bill negotiators hope to iron out the final disputes over the farm bill before Thanksgiving, said Grassley, who based his remarks on a conversation with one of the negotiators.