McConnell Throws Cold Water on Camp’s Tax Plan

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We haven’t seen it yet, but House Ways & Means Committee chair Dave Camp’s  tax reform plan—due out todaymight already be living in the land of “no.” Senate GOP Leader Mitch McConnell told reporters on Tuesday that “I don’t see how we can” pass an overhaul this year, blaming Democrats for the impasse.

The President’s Budget will include an expansion of the Earned Income Tax Credit, end some tax breaks, and renew the White House commitment to business tax reform, according to Council of Economic Advisers Chair Jason Furman. The fiscal blueprint, which has not yet been rejected by McConnell but will be, is due out next week.

But Congress is saying “yes” to hearings this week. 

Can tax policy help low-income workers save for retirement? The Senate Finance Social Security, Pensions, and Family Policy Subcommittee holds a hearing today to answer that question. Witnesses will include the Treasury’s Mark Iwry. Learn more about ways to boost savings in a TPC paper by Ben Harris and Rachel Johnson.

Or, tune in to oversight hearings on the IRS: Commissioner John Koskinen and National Taxpayer Advocate Nina Olson will appear before the House Appropriations Financial Services and General Government Subcommittee.

Don’t forget tax treaties. The Senate Foreign Relations Committee looks at five tax treaties designed to avoid double taxation of income and prevent tax evasion. The first panel includes Joint Committee on Taxation Chief of Staff Thomas Barthold and Treasury Deputy Assistant Secretary for International Tax Affairs Bob Stack.

And about those Swiss bank accounts… The Permanent Subcommittee on Investigations will hold a hearing this morning on  “Offshore Tax Evasion: The Effort to Collect Unpaid Taxes on Billions in Hidden Offshore Accounts.”  The Department of Justice is likely to get some blame in a report and may get an earful from Senators Carl Levin and John McCain. A little history: the President laid out a plan to get a handle on offshore accounts in his first budget but the issue remains vexing.