This is source I found from another site, main source you can find in last paragraph
Senate Minority Leader Chuck Schumer (D-N.Y.). (EPA-EFE/Shawn Thew)
Want a guide to Washington's tax reform debate? Get it here.
Want a guide to Washington's tax reform debate? Get it here.
Can Democrats maintain a united front against the Republican tax agenda? They’ll make an early attempt of it today.
Senate Minority Leader Chuck Schumer (D-N.Y.) wants the party’s amendments to the Republican budget to focus on critiques of the tax proposal. That will require resisting the rare opportunity posed by the free-for-all voting on budget amendments known as a "vote-a-rama" to highlight other hot-button priorities of the Democratic base, such as gun control.
“I would like and I am urging my caucus to limit it to four issues,” Schumer told reporters Wednesday, naming tax cuts for the rich, middle-class tax hikes, reductions to Medicare and Medicaid from cuts, and deficit spending.
Senate Democrats are aiming to limit their amendments to a few dozen, a relative trickle, Politico reports.
And they’ll direct all of them at what they perceive as the most politically vulnerable elements of the Republican approach, including a repeal of the estate tax and the deduction for state and local taxes.
The spending blueprint matters only as a means of stiff-arming Democrats in the tax debate, since adopting it will allow Republicans to pass an overhaul with no support from the minority. (And Republicans readily acknowledge this, with Georgia Sen. David Perdue on Wednesday calling it a “sham” that functions solely “to get a vehicle to get tax done this year.”)
That should make it easier for Democrats to resist GOP overtures as the debate goes on. But Republicans — wary of their own slim margin in the upper chamber, where their majority has proved insufficient to move big bills this year — are making some fitful attempts to woo them, anyway.
The latest came on Wednesday, when
President Trump hosted members of both parties from the Senate Finance Committee. The five Democrats in attendance — Ron
Wyden (Ore.), the ranking Democrat on the panel, along with Sherrod Brown (Ohio), Bob Casey (Pa.), Claire McCaskill (Mo.) and Debbie Stabenow (Mich.) —
returned sounding underwhelmed.
"Two big issues that I raised — or ones I raised over and over again — were it's a giveaway to the one percent, not middle class," Casey told Business Insider. "They don't get a kind of tax cut they should get and secondly, the cut in the budget resolution, Medicare and Medicaid, a trillion and a half, is just totally unacceptable. So I didn't get good answers to those questions."
Sen. Claire McCaskill (D-Mo.). (Christopher Smith/ The Washington Post)
McCaskill, facing reelection next year in a state Trump carried by more than 18 points, got a one-two punch from the administration this week. On Monday night, she went with Sens. Joe Manchin (D-W.Va.) and Heidi Heitkamp (D-N.D.) to the home of Jared Kushner and Ivanka Trump for a dinner focused on the tax overhaul. After returning from the White House on Wednesday, she said in a statement that with the president, she’d emphasized “that it's hard to support something when we haven't seen any details about what is being proposed.” In recent days she has struck a harder line against a plan that she says directs too many of its benefits to the rich while adding to some middle-class burdens.
Republicans have three Senate Democratic targets in their sights: Joe Donnelly (Ind.), Manchin and Heitkamp. They were the only ones in their caucus who declined to sign an August letter demanding that Republicans abandon their filibuster-proof strategy for a tax overhaul while also committing to deficit neutrality and not handing a net tax cut to the top 1 percent. Manchin lately has set his terms outside of where Republicans are headed. As The Washington Post reported this week:
But Manchin has also stressed that the tax cuts can’t add much to the federal debt. Trump has proposed lowering the corporate tax rate from 35 percent to 20 percent, but Manchin thinks it should be closer to 25 percent. He also thinks businesses that are structured in such a way they pay their taxes through the individual income tax code should pay at a 30 percent rate, higher than the 25 percent sought by Trump.
Sen. Heidi Heitkamp (D-N.D.). (Riccardo Savi/Getty)
Heitkamp has heard little from the White House since she joined Trump on stage while he delivered a speech on taxes in her home state last month. The Post's story notes that she wants the package to protect tax benefits for retirement and ease filing for families and companies.
Donnelly has expressed gratitude for support has heard from the administration on his plan to induce companies to keep jobs in the United States.
Schumer succeeded in keeping those Democrats in the fold during the fight over Obamacare repeal that has dominated the year. But all three bolted in April to vote with Republicans in approving Neil Gorsuch for the Supreme Court.
Polling shows public sentiment in favor of the Democrats. A new CNN survey shows that 52 percent oppose Trump’s tax proposals while only 34 percent support them.
Schumer wants to use the debate unfolding this week to make those numbers even worse for Republicans.
Addressing reporters Wednesday, the Democratic leader said: “The more people see of this tax bill, the less they will like it. Today begins the process of what the [tax-reform] bill actually is to the American people. They will not like it.”
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Federal Reserve Chair Janet L. Yellen speaks during the G30 International Banking Seminar, at Inter-American Development Bank headquarters in Washington. ( AP Photo/Jose Luis Magana, File)
House conservatives oppose Yellen. Bloomberg's Kevin Cirilli: "Representative Warren Davidson, an Ohio Republican and member of the conservative House Freedom Caucus, is circulating a letter for colleagues on the House Financial Services Committee to sign against Yellen’s re-appointment, he said. 'I’m not sure we can make the Fed great again, but we can make it better than it has been,' Davidson said. 'Janet Yellen would not be a great successor to Janet Yellen.'"
For the record: House Republicans have no role in this process. And they already registered their objections to the Fed's status quo back in May by passing the Choice Act, which would have curtailed the central bank's political independence.
"You're not rehired." The economy's strength may not earn Fed chair Janet Yellen another term. The New York Times's Binyamin Appelbaum: "Few Fed chairmen have achieved comparable success.Yet President Trump, who is scheduled to meet Ms. Yellen on Thursday, says he is still considering whether to nominate her for a second four-year term, and key White House aides are pressing for her to be replaced.
Ms. Yellen’s peril reflects the polarization of American politics. The three previous Fed chairs were reappointed at least once by a president of the opposite political party, but some Republicans are eager to oust Ms. Yellen, a registered Democrat who has strongly defended post-crisis financial regulations. She may also become a victim of her own success. Steady economic growth and the tranquility of financial markets have emboldened some critics, who see an opportune moment for a transition to new leadership."
A trader wears a hat reading Dow 23,000 on the floor of the New York Stock Exchange. (Photo by Spencer Platt/Getty Images)
Dow 23,000. The milestone was shadowed by a potentially worrying trend: Investors keep pulling their money out of the market. The Wall Street Journal's Corrie Driebusch and Michael Wursthorn: "Investors pulled roughly a net $36 billion out of U.S. stock mutual and exchange-traded funds in the third quarter, according to EPFR Global. Overall in 2017, more money has flowed out of such funds than has flowed in, EPFR data show, even as the Dow has climbed to 51 fresh highs this year... Many investors are concerned that the steady rise in U.S. indexes has left shares looking expensive. They also recently have grappled with elevated tensions between the U.S. and North Korea, hurricane-related disruptions to the economy and signals that the Federal Reserve is planning to raise interest rates further and wind down its unprecedented asset-purchase program."
Trump took credit:
— Another flashing yellow light. "The bond market is warning that trouble could be on the horizon, either from an economic slowdown or an eventual recession," CNBC's Patti Domm writes. "The yield curve, a set of interest rates watched closely by bond market pros, has gotten to its flattest level since before the financial crisis. The spread between 2-year note yields and 10-year yields this week reached near the lows, at about 0.75, it has been since before the financial crisis. 'It certainly is giving you some sort of signal in here. The signals are when the yield curve flattens, it tells you that inflation is not a problem and the Fed is doing something at the front end,' said David Ader, Informa Financial Intelligence chief macro strategist. 'Historically, it signals a slowdown or recession.'"
Black Monday turns 30. Today marks 30 years since the stock market plunged 23 percent, the biggest single-day drop in history. Bloomberg compiled this oral history of the day.
MONEY ON THE HILL
Rep.-for-now Pat Tiberi (R-Ohio). (Pablo Martinez Monsivais/Associated Press)
Tiberi quitting. Rep. Patrick J. Tiberi (R-Ohio), a senior Ways and Means Committee member, plans to step down early for a job back in his home state — a discouraging signal for Republicans as they ramp up their tax push. "Mr. Tiberi, 54, could announce his plan to leave Congress as soon as this week, Republican officials said, though it is unclear when he intends to vacate his seat," the New York Times's Alex Burns and Jonathan Martin report. "Two Republicans who were briefed on Mr. Tiberi’s decision said he had indicated that he plans to join the Ohio Business Roundtable, a business consortium that announced this summer that it was searching for a new president... Mr. Tiberi... would be a particularly striking congressional refugee. He was a close ally of John A. Boehner, the former House speaker, and had considered challenging Senator Sherrod Brown, Democrat of Ohio, next year. Mr. Tiberi, who was first elected in 2000, had more than $6.6 million in his re-election account as of the start of the month."
Here's a startling and revealing stat:
Tiberi now the 8th House GOP tax-writer to bail one way or another this year. Half seeking promotion, half quitting. https://t.co/gafTLuaA9u— Liam Donovan (@LPDonovan) October 19, 2017
Trump this morning tweets that he isn't positive Republicans have the votes for their budget:
Republicans are going for the big Budget approval today, first step toward massive tax cuts. I think we have the votes, but who knows?— Donald J. Trump (@realDonaldTrump) October 19, 2017
Shrinking the base. Ways and Means Committee Chairman Kevin Brady (R-Tex.) hinted Wednesday that tax writers could expand the mortgage and charitable giving deductions. Washington Examiner's Joseph Lawler: "Those provisions are the two that were set aside and spared in the GOP tax reform framework. At the same time, though, both would be undercut by the Republican plan to double the standard deduction, because that move means less people would benefit from itemizing specific deductions, rendering the charitable giving and mortgage deductions inoperative for more people. Speaking at the Baker Institute in Houston, Brady said that the committee is trying to 'think fresh' about maintaining incentives for charitable giving and homeownership in the GOP bill."
Treasury Secretary Steven Mnuchin. (Photo by Spencer Platt/Getty Images)
Mnuchin repeals the Mnuchin Rule. CNBC's John Harwood: "It happened in an interview with Treasury Secretary Steven Mnuchin that Politico published Wednesday. Faced with economic analyses showing the White House plan to cut corporate and personal income taxes provides big gains for wealthy Americans, Mnuchin called that result unavoidable. 'The top 20 percent of the people pay 95 percent of the taxes,' the Treasury secretary said. 'The top 10 percent of the people pay 81 percent of the taxes.'
'So when you're cutting taxes across the board, it's very hard not to give tax cuts to the wealthy with tax cuts to the middle class,' he concluded. 'The math, given how much you are collecting, is just hard to do.' That represents a dramatic reversal from Mnuchin's initial assertions on the subject. After last November's election, he appeared on CNBC to pledge that wealthy Americans would receive no tax cut whatsoever."
Mnuchin's statement drew this reaction from Sen. Brian Schatz (D-Hawaii):
This statement is hilarious and embarrassing, but it's also false. Targeting tax cuts for working families is simple if you want to do it. https://t.co/lDQbuA6V2y— Brian Schatz (@brianschatz) October 18, 2017
Mnuchin: Stocks will tank without tax cuts. Politico's Ben White:
"Steven Mnuchin has a stern warning for Congress: You could blow up the stock market if you fail to cut taxes... 'There is no question that the rally in the stock market has baked into it reasonably high expectations of us getting tax cuts and tax reform done,' Mnuchin said in the interview. 'To the extent we get the tax deal done, the stock market will go up higher. But there’s no question in my mind that if we don’t get it done you’re going to see a reversal of a significant amount of these gains.' If that sounds like a threat to Republicans — and perhaps some Democrats — to pass a tax bill, that’s because it is. In fact, some analysts on Wall Street say that if a tax overhaul falters, a big correction on Wall Street could help push the legislative process back on track."
Thune acknowledges the obvious. Add the No. 3 Senate Republican to those leaders now publicly admitting that a tax overhaul could slip into 2018.
Foreign companies could see big changes. The Wall Street Journal's Richard Rubin: "Those could include new surtaxes or limits on how much the companies can deduct on certain expenses such as rent, royalties and interest on debt. The changes would be meant to address an imbalance. Because U.S. corporate tax rates are higher than they are in many other countries, foreign companies have an incentive to book big expenses in the U.S. so that more of their global profits get taxed at low rates back home. A drop in the U.S. corporate tax rate will address part of that imbalance, but not all of it, so other steps, such as a surtax for foreign companies with headquarters or operations in the U.S., could be imposed to level the playing field."
Bernie vs. Ted. The senators from opposite ends of the ideological spectrum faced off over taxes in a CNN debate on Wednesday. Some highlights, via Twitter:
The Washington Examiner's Joseph Lawler:
Cruz-Sanders tax debate begins with each one accusing the other of raising middle class taxes— Joseph Lawler (@josephlawler) October 19, 2017
CNN producer Teddy Davis:
Denmark has highest taxes in developed world.
US is 32nd.
Are Americans ready to raise taxes?
Bernie Sanders: "I think they will be."— Teddy Davis (@TeddyDavisCNN) October 19, 2017
Conservative writer Seth Mandel:
Bernie does not know what the word "cost" means https://t.co/taevp6C3st— Seth Mandel (@SethAMandel) October 19, 2017
CNN reporter Ashley Killough:
Sessions mum on Comey firing. The Post's Matt Zapotosky, Sari Horwitz and Devlin Barrett: "During a contentious five-hour oversight hearing before the Senate Judiciary Committee, Democratic senators peppered the nation’s top law enforcement officer with questions on former FBI director James B. Comey, Trump and the ongoing investigation into possible coordination between the Trump campaign and Russia during the 2016 presidential race. But for the most part, Sessions declined to offer any new details about those matters. He would not say what Trump told him before Comey’s firing, offering only that the president asked for his advice in writing. He said he has not been interviewed by special counsel Robert S. Mueller III, who is leading the probe that is exploring, in part, whether Trump obstructed justice leading up to Comey’s removal.
Sessions lambasted the former FBI director, saying he did not believe “it’s been fully understood the significance of the error that Mr. Comey made” concerning the investigation of Hillary Clinton’s use of a private email server. But he would not say whether the president, in deciding to remove Comey, mentioned the Russia case in their discussions. He also would not say if he was aware of a draft letter detailing reasons that Comey should be removed."
Russian bot drew in Mike Flynn, Nikki Minaj. The Post's Craig Timberg, Elizabeth Dwoskin and Adam Entous:
"Russian operatives used a fake Twitter account that claimed to speak for Tennessee Republicans to persuade American politicians, celebrities and journalists to share select content with their own massive lists of followers, two people familiar with the matter said. The list of prominent people who tweeted out links from the account, @Ten_GOP, which Twitter shut down in August, includes political figures such as Michael Flynn and Roger Stone, celebrities such as Nicki Minaj and James Woods, and media personalities such as Ann Coulter and Chris Hayes. There is no evidence that any of them knew the account was run by Russians.
Independent researchers had suspected the account was Russian, and their work was confirmed Wednesday by two people familiar with the investigations into the Kremlin’s meddling in the 2016 U.S. election."
Lewandowski meets with Senate Intel Committee. Trump's former campaign manager spent three hours answering questions on Wednesday.> Trump selects Washington lawyer Joe Simons to head FTC President Donald Trump has selected Joseph Simons, an antitrust attorney from a Washington law firm, to head the Federal Trade Commission, a White House official said on Wednesday.
Traders work on the floor of the New York Stock Exchange. (Michael Nagle/Bloomberg)
Bots on Wall Street. Bloomberg: "Traders, prepare to adapt. Wall Street is entering a new era. The fraternity of bond jockeys, derivatives mavens and stock pickers who've long personified the industry are giving way to algorithms, and soon, artificial intelligence. Banks and investment funds have been tinkering for years, prompting anxiety for employees. Now, firms are rolling out machine-learning software to suggest bets, set prices and craft hedges. The tools will relieve staff of routine tasks and offer an edge to those who stay. But one day, machines may not need much help." (The story comes with a cool visualization of where and how deeply this tech has already penetrated.)> American Express CEO Kenneth Chenault to Step Down After 16 Years Kenneth Chenault, the head of American Express Co. and one of the country’s most prominent African-American corporate leaders, will step down as chairman and chief executive Feb. 1, capping a 16-year run.
The Wall Street Journal> ‘Shrinking, shrinking, shrinking’: Puerto Rico faces a demographic disaster Even before Maria, the island’s population and economy had suffered a decade of decline.
Don't scrap OLA. The New York Times's Gina Chon: "The Treasury Department will soon decide whether to recommend scrapping the Dodd-Frank Act’s rules for liquidating failing banks, as some Republicans are urging. But foreign regulators are threatening to impose new curbs on American firms if it’s ditched... The debate in Washington ignores the global nature of big banks and the role that international regulators play. The F.D.I.C.-supported method would deal with a failing bank at the holding company level, eliminating the need for each division — including overseas units — to have their own wind-down plans. Overseas watchdogs would defer to regulators in the United States and work in close cooperation with them. Bankruptcy judges don’t have those relationships and the process, even with improvements, would be too slow to handle the fast-paced chaos of a large, failing bank."
Trump has already undermined Randy Quarles. Peter Conti-Brown in the Yale Journal on Regulation: "Quarles looks an awful lot like someone dependent on the President for his immediately continued service as a central banker. The quirk is this. Governor Quarles was nominated to fill not two, but three vacancies. The first two I’ve mentioned: Vice Chair for Supervision and Fed Governor. But the second was only for the balance of a term unfilled by a predecessor set to expire on January 31, 2018, in just three months. Recognizing this imbalance, President Trump also nominated Quarles for a third position: Fed Governor for a full fourteen-year term beginning February 1, 2018, and ending in 2032...
The consequence today is that our current Vice Chair for Supervision–one of the most important positions in the administrative state for financial regulation–does not have a term of four years, as statute and his online biography suggest, nor does the newest Fed Governor have an insulated, tenure-protected term of fourteen years. Both positions expire on January 31."> Central bankers have one job and they don’t know how to do it Even in places, such as America, that also ask the central bank to promote “maximum employment”, the inflation mandate is paramount.The problem is no one seems to have figured out how central bankers are supposed to influence this monetary phenomenon using the tools at their disposal.
Matthew C Klein via the FTWhere Critics of Tax Reform Go Wrong These strong reactions rest in large part on a preliminary analysis of the plan from the Tax Policy Center. It claims that the tax plan won’t expand America’s economy or its tax base but will produce massive deficits. This pessimistic view does not reflect the best economic analysis.
Laurence Kotlikoff and Jack Mintz via the WSJ
Trump's tweets, by the numbers: The Post's Philip Bump writes that if it takes President Trump about 6 minutes and 24 seconds to write a tweet, at 1,817 tweets since taking office, that's 11,653 minutes sending tweets as president. That's 8.1 days or 3 percent of his presidency so far.>
- The Peterson Institute for International Economics holds a book releaseon "The Paradox of Risk: Leaving the Monetary Policy Comfort Zone" on
- The Brookings Institution holds an event on Trump’s deregulatory agenda on
From The Post's Tom Toles: "Trump hopes that a word from the unwise is sufficient:">
Trump promises a 'once in a lifetime' tax rewrite opportunity:
Here's how the Senate Judiciary Committee grilled Jeff Sessions:
‘You’ll find out’: How Trump backs up controversial claims:
Watch Denver Zoo elephants smash pumpkins:
From The Daily Show with Trevoe Noah: "How to solve the Harvey Weinstein problem:"
This is source I found from another site, main source you can find in last paragraph
Source : https://www.washingtonpost.com/news/powerpost/paloma/the-finance-202/2017/10/19/the-finance-202-democrats-want-to-make-budget-vote-all-about-gop-s-tax-headaches/59e7817e30fb041a74e75dfd/