Key Republicans oppose effort to reduce corporate tax cut

Cropped Photo: Martin Falbisoner / CC BY-SA 3.0
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WASHINGTON (AP) — Key Republican lawmakers oppose efforts to scale back a proposed cut in the corporate income tax rate to pay for other tax breaks, complicating efforts to appease Republicans from high-tax states.

Both the House and Senate tax packages would reduce the corporate income tax rate from 35 percent to 20 percent. However, negotiators have been discussing whether to set the corporate rate at 22 percent to help pay for an expanded deduction for state and local income taxes and other provisions.

President Donald Trump opened the door to scaling back the corporate tax cut over the weekend.

Both the House and Senate tax packages would provide steep tax cuts to businesses and more modest tax breaks for families and individuals.