There is a matter of contention among Republicans: whether to go for a tried and tested tax cut or overhaul the complete tax code. Republican leaders in the House are not only sparring with the Trump administration on this particular issue- they are also fighting the Republicans in Congress. The latter has also been given a name: Freedom Caucus. Both sides face an awkward fight as not many Republicans want to be known as a person who oppose either tax reform or a slash in taxes.
Tax cuts will not help
Tax writers among House Republicans are trying to discourage George W. Bush like tax cuts, discreetly arguing that this action will not much help the economy. The best would be a complete revamping of the tax code. They are also aware of the United States' Government's massive $14 trillion debt. They warn that it is guaranteed by the budget rules that any kind of tax cuts which are not offset must be temporary. This is replay of battle over future of Bush tax cuts. The contingent of cutting taxes only is laying stress on its wish to assist struggling Americans. Representative Peter Roskam, a Republican from Ilinois, and the chairman of Ways and Means Committee, along with other House Tax writers wants to slash the ray
For Speaker Paul Ryan and his supporters, the present situation is ripe for a complete makeover. Republicans are now fully in control. Radical changes can be made- something which was last done during the Reagan administration. Many Republicans, on the other hand, wants to simply slash taxes. This will be much easier. There is also the uncertainty associated with Republicans' Affordable Care Act (ACA) replacement plans. A cut in taxes and a repeal of the ACA or Obamacare means that the GOP will enter the midterm elections in 2018 with an important legislative win.
Republicans rallying behind complete tax reform suffered a few setbacks during the first week of May when Mark Meadows, the Chairman of Freedom Caucus, said that the group will craft a new plan of its own. This is contrary to the agreement that the “Better Way” proposal by Ryan is scheduled to be the official tax House line. Orrin Hatch, a Republican from Utah, and the top tax writer of the Senate, said that his preference is to cut taxes.