Federal Spotlight: House and Senate Come to Tax Reform Deal

December 14, 2017

The House and the Senate have come to a preliminary deal on a tax reform package. Members of the two chambers have been in a conference committee working to settle their differences. A vote is most likely to be held next week. The deal is not yet finalized, but here is what we know right now:

  • 21% corporate tax rate—reduced from the current 35%
  • 37% top individual income rate—down from the current 39.6%
  • State and local tax (SALT) deduction would be capped at $10,000, but would include property and income tax
  • Corporate alternative minimum tax would be repealed
  • 20% deduction for the pass-through income rate
  • Mortgage interest deduction capped at $750,000

You can read more here, and expect to see more details released in the coming days. It has been a top priority of Congressional Republicans and the Trump administration to get a tax bill signed by Christmas.