Tuesday's election results, unfavorable nonpartisan analyses complicate the GOP's tax plans


The Senate is scheduled to release its tax overhaul package on Thursday, and Rep. Kevin Brady (R-Texas) says he will release an updated version of the House bill, but Republicans on Wednesday couldn't agree whether Tuesday's electoral beating would help focus congressional Republicans on passing a tax bill or hurt the effort. Complicating their political calculus are a series of nonpartisan analyses of the House tax plan that find some middle class families would actually pay more in taxes next year, and the number of beneficiaries would shrink dramatically by 2017.
An analysis released Wednesday by the nonpartisan Tax Policy Center, for example, found that 9 percent of middle income taxpayers (earning $48,600 to $86,100 a year) would get a tax hike next year and 31 percent of that bracket would face higher taxes in a decade. A 76 percent majority of all U.S. taxpayers would get a tax cut in 2018, with middle class families averaging a $800 boost, the Tax Policy Center found, but "the largest cuts, in dollars and as a percentage of after-tax income, would accrue to higher-income households." The Joint Committee on Taxation, the nonpartisan tax analysis organ for Congress, predicted similar results earlier this week.
Republicans are still tinkering with their plans, but the "changes made to the House bill since it was released last week have largely benefited corporations at the expense of individuals," The Washington Post reports. One change approved Monday to eliminate a proposed corporate tax blew a $74 billion hold in the plan, pushing it up to a $1.57 trillion addition to the federal deficit over the next decade; to pass the Senate with a bare majority, the bill can't raise the deficit by more than $1.5 trillion.
The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Peter has worked as a news and culture writer and editor at The Week since the site's launch in 2008. He covers politics, world affairs, religion and cultural currents. His journalism career began as a copy editor at a financial newswire and has included editorial positions at The New York Times Magazine, Facts on File, and Oregon State University.
-
SpaceX breaks Starship losing streak in 10th test
speed read The Starship rocket's test flight was largely successful, deploying eight dummy satellites during its hour in space
-
Sudoku medium: August 27, 2025
The Week's daily medium sudoku puzzle
-
Sudoku hard: August 27, 2025
The Week's daily hard sudoku puzzle
-
New York court tosses Trump's $500M fraud fine
Speed Read A divided appeals court threw out a hefty penalty against President Trump for fraudulently inflating his wealth
-
Trump said to seek government stake in Intel
Speed Read The president and Intel CEO Lip-Bu Tan reportedly discussed the proposal at a recent meeting
-
US to take 15% cut of AI chip sales to China
Speed Read Nvidia and AMD will pay the Trump administration 15% of their revenue from selling artificial intelligence chips to China
-
NFL gets ESPN stake in deal with Disney
Speed Read The deal gives the NFL a 10% stake in Disney's ESPN sports empire and gives ESPN ownership of NFL Network
-
Samsung to make Tesla chips in $16.5B deal
Speed Read Tesla has signed a deal to get its next-generation chips from Samsung
-
FCC greenlights $8B Paramount-Skydance merger
Speed Read The Federal Communications Commission will allow Paramount to merge with the Hollywood studio Skydance
-
Tesla reports plummeting profits
Speed Read The company may soon face more problems with the expiration of federal electric vehicle tax credits
-
Dollar faces historic slump as stocks hit new high
Speed Read While stocks have recovered post-Trump tariffs, the dollar has weakened more than 10% this year