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3/19/2020

Joint Statement on Tax Reform | U.S. Department of the Treasury

Joint Statement on Tax Reform
July 27, 2017

Washington – Treasury Secretary Steven T. Mnuchin, Speaker of the House Paul Ryan, Senate
Majority Leader Mitch McConnell, Senate Finance Committee Chairman Orrin Hatch, House
Ways and Means Committee Chairman Kevin Brady, and National Economic Council Director
Gary Cohn issued the following joint statement today on tax reform:
For the first time in many years, the American people have elected a President and Congress
that are fully committed to ensuring that ordinary Americans keep more of their hard-earned
money and that our tax policies encourage employers to invest, hire, and grow. And under the
leadership of President Trump, the White House and Treasury have met with over 200 members
of the House and Senate and hundreds of grassroots and business groups to talk and listen to
ideas about tax reform.
We are all united in the belief that the single most important action we can take to grow our
economy and help the middle class get ahead is to fix our broken tax code for families, small
business, and American job creators competing at home and around the globe. Our shared
commitment to fixing America's broken tax code represents a once-in-a-generation opportunity,
and so for three months we have been meeting regularly to develop a shared template for tax
reform.
Over many years, the members of the House Ways and Means Committee and the Senate
Finance Committee have examined various options for tax reform. During our meetings, the
Chairmen of those committees have brought to the table the views and priorities of their
committee members. Building on this work, as well as on the e orts of the Administration and
input from other stakeholders, we are confident that a shared vision for tax reform exists,
and are prepared for the two committees to take the lead and begin producing legislation for
the President to sign.
Above all, the mission of the committees is to protect American jobs and make taxes simpler,
fairer, and lower for hard-working American families. We have always been in agreement that
tax relief for American families should be at the heart of our plan. We also believe there should
be a lower tax rate for small businesses so they can compete with larger ones, and lower rates
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Joint Statement on Tax Reform | U.S. Department of the Treasury

for all American businesses so they can compete with foreign ones. The goal is a plan that
reduces tax rates as much as possible, allows unprecedented capital expensing, places a priority
on permanence, and creates a system that encourages American companies to bring back jobs
and profits trapped overseas. And we are now confident that, without transitioning to a
new domestic consumption-based tax system, there is a viable approach for ensuring a level
playing field between American and foreign companies and workers, while protecting American
jobs and the U.S. tax base. While we have debated the pro-growth benefits of border
adjustability, we appreciate that there are many unknowns associated with it and have decided
to set this policy aside in order to advance tax reform.
Given our shared sense of purpose, the time has arrived for the two tax-writing committees to
develop and dra legislation that will result in the first comprehensive tax reform in a
generation. It will be the responsibility of the members of those committees to produce
legislation that achieves the goals shared broadly within Congress, the Administration, and by
citizens who have been burdened for too long by an outdated tax system. Our expectation is for
this legislation to move through the committees this fall, under regular order, followed by
consideration on the House and Senate floors. As the committees work toward this end, our
hope is that our friends on the other side of the aisle will participate in this e ort. The President
fully supports these principles and is committed to this approach. American families are
counting on us to deliver historic tax reform. And we will.

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