Speed Reads

GOP tax plan

Sen. Susan Collins insists on keeping taxes for the wealthy as the GOP tax bills take shape

Sen. Susan Collins (R-Maine) said Monday she hopes "very much to be able to support a tax reform package," but laid out some specific things she wants to see in the legislation. "I do not believe that the top rate should be lowered for individuals who are making more than $1 million a year," Collins told Bloomberg News. "I don't think there's any need to eliminate the estate tax." House Republicans are unveiling their tax bill on Wednesday, and the Senate bill, expected a week later, will be more tailored to win over moderates like Collins and maybe a few Democrats.

The Senate bill is expected to tinker with the trigger points for the estate tax, raising it from $5.49 million for an individual and $10.98 million for couples, but not fully repeal it, Axios reports, citing congressional aides and an administration official. The Senate bill is also expected to differ from the House version in that it might fully scrap state and local tax deductions and will not tinker with 401(k) contributions. Both bills could include four tax brackets, leaving the 39.6 percent rate for the wealthy intact and phase in the sharp reduction in corporate taxes. Passing a tax cut bill is the top GOP legislative priority, and with 52 Republican senators, there isn't much margin for error.