Ryan promises to overhaul tax code this year despite hurdles

U.S. President Donald Trump meets with Pharma industry representatives at the White House in Washington U.S

President Donald Trump meeting with pharma industry representatives at the White House on January 31. Reuters

"Transformational tax reform can be done, and we are moving forward".

"We are going to get this done in 2017", he will say in a speech before the National Association of Manufacturers. We need to get this done in 2017. "There is nothing that could strengthen our economy and give people greater confidence more than fixing our antiquated tax system".

Congressional Republicans are planning to pass a tax package under a procedure in which they need only a simple majority in the Senate — preventing Democrats from blocking it. To be permanent under the budget reconciliation process Republicans plan to use to advance a tax overhaul, the legislation needs to be deficit neutral.

One issue that Ryan soft-pedaled was the House Republicans' plan to institute a border-adjusted tax meant to encourage domestic production by taxing imported goods, but not exports.

The lack of agreement on how to pay for steep individual and corporate tax-rate cuts has prompted key GOP lawmakers to cast doubt on the need for legislation that balances the cuts with other provisions that raise revenue.

The discussions appeared to have achieved little of substance so far, according to lobbyists, aside from broad agreement on concepts including the need for a "territorial" system that would no longer tax the foreign profits of US corporations.

Does Paul Ryan realize that the GE plant that just announced it is leaving Waukesha is doing so because Canada offered $2B and a 15 percent tax rate?

Speaker of the House Paul Ryan is expected to focus on the importance of accomplishing permanent tax reform in 2017 and the need to incentivize companies to keep their business in the USA during his speech to the National Association of Manufacturers Tuesday.

"We'll cut taxes across the board for working families, small businesses and family farms".

Congressional GOP leaders and Trump administration officials are meeting regularly to produce a bill they can all support.

The border adjustment tax would have significant implications for retailers and other industries that rely on complicated global supply chains, including automobiles, technology, food and fuel.

One major area where Republicans are divided is on the border-adjustment tax that was part of the tax plan Ryan released previous year.

Ryan supports a new tax on imports to help finance a lower overall tax rate for corporations, and to encourage USA companies to stay in the United States.

According to leadership sources, the Wisconsin Republican won't discuss the ongoing negotiations between the House, Senate and Trump administration and will instead make his case for the transition to a territorial tax system he feels will level the playing field.

"We must think differently, so that once again we make things here and export them around the world", he said.

"There are a number of ways to achieve this", he said.

"We want to get these rates as low as we possibly can" while still making the numbers "work", he said.

His comments come in excerpts of the speech released by his office, the website said.

US President Donald Trump and Speaker of the US House of Representatives Paul Ryan. You will hear that tax reform is coming along.

The National Retail Federation (NRF), which opposes the border-adjustment tax, also applauded Ryan for calling for permanent tax reform. The cumulative effect of these things, he said, would be a boost to the United States economy that would create more and better-paying jobs.

In his speech, Ryan is expected to emphasize the importance of permanent reforms, reject the notion that legislation should do little more than reduce tax rates and make a case for mechanisms to prevent USA corporations from moving income, assets and jobs overseas.

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