Senate Finance unveils tax reform groups

Senate Finance Committee Chairman Orrin Hatch (R-Utah) is rolling out working groups to help his committee sift through the challenges of tax reform.

Hatch announced the creation of five separate working groups on Thursday, dealing with individuals, businesses, savings and investment, international issues and community development and infrastructure.

Each group will work with the Joint Committee on Taxation to create a report to be delivered to Hatch and the panel’s top Democrat, Sen. Ron Wyden (D-Ore.), by the end of May.

{mosads}“Republicans and Democrats agree the American tax system is too complicated, unfair, and is hurting economic growth,” Hatch said in a statement.  

“With the launch of these working groups, members will have an opportunity to thoroughly examine the code and put forward smart ideas that will help lay the groundwork for a bipartisan tax overhaul that will provide bigger paychecks, better jobs, and more opportunity for all Americans.”

Former House Ways and Means Committee Chairman Dave Camp (R-Mich.) and Rep. Sandy Levin (D-Mich.) implemented a similar process in 2013, though the House went with 11 working groups. 

House tax writers generally praised the working group process, but Levin later complained that the process soon became much more partisan. Camp released a tax reform bill last year but it gained little traction, even among Republicans.

The move also comes as some senior Senate Republicans, like Sen. John Thune (S.D.), are discussing using budget reconciliation as a way to enact a broad deal to overhaul the tax code for businesses and improve the country’s infrastructure.

Sens. Chuck Grassley (R-Iowa), Mike Enzi (R-Wyo.) and Debbie Stabenow (D-Mich.) will lead the individual working group, while Thune and Sen. Ben Cardin (D-Md.) will lead the business group.

Sens. Mike Crapo (R-Idaho) and Sherrod Brown (D-Ohio) will be atop the savings group. Sens. Rob Portman (R-Ohio) and Charles Schumer (D-N.Y.) will lead the group tackling international issues, while Sens. Dean Heller (R-Nev.) and Michael Bennet (D-Colo.) will take the infrastructure group.