Commerce Secretary Wilbur Ross reportedly is optimistic about a possible compromise for lawmakers over their tax-cut plan.
Ross told CNBC that lawmakers could potentially agree on caps on some deductions to resolve disagreements in their tax plan.
Ross wants to see a tax bill passed this year but says the substance of it is more important than speed.
"I think what's more important is to get it done and get it done properly and to endorse the directional guidance the president has given," he said.
However, Ross said that taking longer to pass a tax proposal could create "indecision" or "paralysis" when businesses or individuals plan financial moves at the end of the year, CNBC reported.
Meanwhile, House leaders announced plans to press on with a budget vote Thursday that represents an attempt to stick to their ambitious goal of delivering tax-overhaul legislation by year’s end, Bloomberg reported.
In setting the vote, House Speaker Paul Ryan and his leadership team turned aside an attempt to delay it by a group of Republican lawmakers who fear their constituents would be hurt by repealing the state and local tax deduction. The budget vote may still be close, but the decision to move ahead suggests that House leaders are confident of adoption.
GOP lawmakers from high-tax states, including New York and New Jersey, are seeking to preserve the state and local tax break, at least partially. On Wednesday, two of them said they thought they had enough votes to put the budget resolution in jeopardy if they didn’t get their way.
Despite the last-minute drama, House Majority Whip Steve Scalise projected confidence to reporters Wednesday evening. “It’s looking good,” said Scalise of Louisiana. “We’re going to get this done.”
But convincing disaffected moderates to go along with the budget vote Thursday is just one step. They are likely to draw a harder line on a final tax bill if their concerns are not addressed.
“This proposal will devastate my district forever,” said Representative Peter King, who represents the southern shore of Long Island. “How anybody from New York and New Jersey can vote for this budget without knowing what is in the tax bill is beyond me.” He and Representative Tom MacArthur of New Jersey said they thought the objectors had enough votes to threaten passage if they weren’t satisfied.
As for the economy itself, Ross thinks the economy is shifting into high gear, telling Newsmax TV that is largely because of President Donald Trump’s quest to abolish the sea of corporate red tape imposed by the Obama administration.
“I think the animal juices are starting to flow but I think a lot of that has to do with the regulatory reform,” Ross, 79, told Newsmax Finance Insider, economist and moderator Larry Kudlow in a "Newsmax in the Nation's Capital" special sponsored by Newsmax and Google.
“Every day CEOs are coming into our office usually looking for something new but they usually begin by saying how happy they are and how much better they're doing because of the reduced regulatory burden,” Ross said.
Ross told Kudlow now that the corporate shackles have been removed, businesses are ready to invest in themselves, their workers and the country.
“I think it's coming back big time. A number of them have announced plans to expand even before the tax code comes onto the horizon. And I think assuming we get the tax cut that will really be very, very powerful for the economy because it'll have a multiplier effect on everything else we're doing,” Ross said.
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