With the Speaker Reelected, Republicans Look at Tax Legislation Roadmap
President Trump is just two weeks away from returning to the White House and has already begun participating in Congressional politics. This week he lobbied House Republicans to reelect Speaker Mike Johnson (R-LA), helping the Speaker maintain his seat on the first ballot. Congressional Republicans and President Trump agree tax legislation is a priority, but the process to pass it remains up for debate.
Renewal of President Trump’s 2017 tax bill, including full expensing for research and development and bonus depreciation for capital equipment, are a top priority for the incoming White House, as well as House and Senate Republicans.
At issue is whether to include tax language with other priorities such as border funding under a legislative process known as budget reconciliation or to tackle those issues first, followed by a second budget reconciliation package on tax legislation.
Over the weekend Politico and other news outlets reported that Speaker Johnson said President-elect Trump wants “one big beautiful” reconciliation bill, but President-elect Trump left the door open to two packages in an interview on Sunday. Speaker Johnson and House leaders, particularly the tax-focused Ways and Means Committee Chairman Jason Smith (R-MO), favor one bill to be passed by the end of April. Senate Republicans are in favor of a two-bill approach.
No decision has been made yet, and key House Republicans will be traveling to Mar a Lago to discuss tax strategy with President Trump and his senior advisors this week.
Please contact Dan Neumann with any questions. Be sure to register for ACMA’s Composites 2025 Fly-In to advocate for the increased use of composites, build connections with federal agencies and Members of Congress, and uncover valuable insights and leads in federally influenced markets.