Senate passes major tax reform package

Saturday's tax bill vote brought victory closer for President Donald Trump and Senate Majority Leader Mitch McConnell, R-Ky.  (Associated Press)

The U.S. Senate voted just before 2 a.m. ET Saturday to pass a sweeping tax overhaul worth roughly $1.4 trillion, putting the Trump White House a big step closer to its first major legislative victory – and many Americans closer to a tax cut.

The vote was 51-49, with Republican Bob Corker of Tennessee the only member of the GOP to side with the Democrats in opposition.

Not long after the vote, President Donald Trump tweeted his reaction:
"We are one step closer to delivering MASSIVE tax cuts for working families across America," the president wrote. "Special thanks to @SenateMajLdr Mitch McConnell and Chairman @SenOrrinHatch for shepherding our bill through the Senate. Look forward to signing a final bill before Christmas!"
House Minority Leader Nancy Pelosi, D-Calif., also responded, calling the legislation a "betrayal of the American middle class."
“The GOP tax scam is a product of haste, carelessness and cruelty," Pelosi wrote. "It was written on Republicans’ trickle-down delusions, not analysis or facts.  It was written first and foremost for the wealthiest one percent, not middle class families trying to get ahead."
The bill is not yet finalized. Saturday's vote means the Senate and House have passed similar tax reform plans, but negotiators from both chambers will start meeting Monday to agree on a single piece of legislation that both chambers must approve before it is sent to the president for his signature.
Here’s how the latest legislation would affect you:
What deductions can I claim under the Senate bill that just passed?
The Senate bill does away with federal deductions for state and local income and sales taxes, but allows deductions of up to $10,000 in local property taxes. The legislation originally eliminated federal deduction for all state and local taxes, but the property tax exemption was later added at the insistence of Sen. Susan Collins, R-Maine, who said she was “delighted” about the change.
What about personal deductions?
Like the House bill, the Senate bill nearly doubles the standard deduction level to $12,000 for individuals (up from $6,350) and $24,000 for couples (up from $12,700).
Any other deductions I could claim?
The Senate bill retains the current limit for the home mortgage interest deduction to interest paid on the first $1 million of the loan. (The House bill reduces the limit to $500,000 for new home purchases.) The Senate version also preserves the deduction for medical expenses not covered by insurance (the House bill does not), but ends deductions for moving expenses and tax preparation.
Why does the Senate bill allow deducting medical expenses not covered by insurance?
Because the Senate bill also repeals ObamaCare’s individual mandate, while the House bill does not. If ObamaCare’s mandate is repealed, thousands of people are expected to drop their health insurance, raising the cost for those who decide to keep it.
And the personal exemption?
The Senate and House bills both eliminate the $4,050 personal tax exemption.
Will the tax brackets change at all?
The Senate bill keeps seven tax brackets, but reduces them to 10, 12, 22, 24, 32, 35 and 38.5 percent. (The current brackets are 10, 15, 25, 28, 33, 35, and 39.6 percent.) The House measure condenses seven brackets to four: 12, 25, 35 and 39.6 percent.
I own a small business. What would this mean for me?
The Senate bill allows owners of so-called “pass-through” businesses (that is, businesses that aren’t incorporated) to deduct 23 percent of their earnings, and then pay at their personal income tax rate on the remainder. This issue was a key concern of Sens. Ron Johnson, R-Wis., and Steve Daines, R-Mont., both of whom announced this week that they would support the bill.
What about corporate tax rates?
Like the House bill, the Senate bill cuts the current 35 percent rate to 20 percent, but the Senate bill calls for a one-year delay in dropping the rate.
When will tax reform take effect?
President Trump and congressional Republicans have vowed to make tax reform law before the end of the year. If that happens, most of the provisions would come into force on Jan. 1.
Will tax reform affect my returns for this year?
The changes will not have any impact on your taxes for 2017, which are due to the IRS by April 17, 2018 (you get an extra 48 hours to file because the traditional April 15 due date falls on a Sunday).
So when will the differences in the bills be hashed out?
The House will vote on a motion to go to conference on the tax bills on Monday evening. The Senate is expected to vote on a similar measure soon after. Congress is scheduled to adjourn for its Christmas break on Dec. 15, but House Speaker Paul Ryan has said he will keep the House in session beyond that date if necessary to get tax reform passed.

Francisco Sanchez Murderer Cartoons

Sen. Cotton: Ending Chain Migration a Necessary Part of Any DACA Deal

The White House says it has broken down, country-by-country, how many migrants were admitted to the United States through family preference, or as immediate relatives of migrants already admitted into the country.
According to the Department of Homeland Security data, the U.S. permanently resettled approximately 9.3 million new immigrants on the basis of family ties between 2005 and 2015, which represents more than 70 percent of all new immigration in that period.
President Donald Trump has vowed to crack down on so-called "chain migration" as part of his efforts to tighten and reform existing immigration laws.
"Seven out of every ten immigrants who come to this country, they don't come because of their job skills or their education. They come simply because they had a family member come here five or ten or 20 years ago," Sen. Tom Cotton (R-Ark.) said on "Special Report."
He added that only one in five green cards is issued based on a migrant's skills, according to the Department of Homeland Security's numbers.
He said that's one of many reasons why he's sponsoring the RAISE Act, which would limit the family path to spouses and minor children, as opposed to extended and adult family members.
"You wouldn't be bringing in so many unskilled workers who are going to compete for American jobs and drive down American wages," Cotton said.
He echoed comments from Trump and Senate Majority Leader Mitch McConnell that ending chain migration is necessary in exchange for any deal on DACA.
"It's a necessary condition, maybe not the only condition, but a necessary condition," Cotton said. "If you give amnesty to one or two million illegal immigrants who were brought here through no fault of their own as kids, you're going to have at least a couple of negative effects. And one of those negative effects is you're going to create a whole new chain of chain migration. The way to control for that negative effect is to stop chain migration."

White House releases 'explosive' tally of green cards issued in 'chain migration'

For the first time, the White House said, the federal government has counted the green cards issued between 2005 and 2015 to migrants admitted through family preference, or as immediate relatives of migrants already admitted into the country in perhaps the fullest portrait of “chain migration” ever developed.

“For years, we've known that large numbers of immigrants have been coming based on petitions from previous immigrants,” U.S. Citizenship and Immigration Services Director Lee Cissna told Fox News. “But this is the first time we really kind of see the whole scope of the problem. And legislators or policymakers at DHS can do what they need to do address the problem.”  

During the ten-year time frame, officials said, the U.S. permanently resettled roughly 9.3 million new immigrants on the basis of family ties.
That’s more than 70 percent of all new immigration in that period, the White house said, adding it is also the primary driver of low-skilled workers’ entry into the U.S. A phenomenon analyst say most directly hurts American minority groups with comparable skills.
“These numbers are explosive. They show that American immigration skews almost entirely towards family-based admissions,” said a White House official who briefed Fox News on the data.
Mexico is at the top of the list with 1.7 million admissions, India and the Philippines each have more than 600,000, and Iran has more than 80,000.
President Trump has urged congressional Democrats to address chain migration in any compromise on the so-called “Dreamers” immigrants brought here as children who will face deportation in March if a deal on their disposition is not reached.
Republican Senators Tom Cotton of Arkansas and David Perdue of Georgia have proposed eliminating the preference afforded to extended and adult family members.
“We have current immigrants determining who future immigrants will do – will be, independent of their ability to be contributory to our economy,” Perdue told Fox News.
The group “New American Economy,” compromised of 500 mayors and business leaders committed to comprehensive immigration reform notes that 40 percent of America’s Fortune 500 companies were founded by immigrants or their children.
“Could we do it better? Should we have more focus on merit? Absolutely,” said the group’s Executive Director Jeremy Robbins. “But that doesn’t mean in the least that we don’t want to be reuniting families, strengthening communities and bringing more people here.”
On Fox News Wednesday, Senate Majority Leader Mitch McConnell echoed the President's call to end chain migration in exchange for any deal on DACA. McConnell explained that last year's Presidential election gave lawmakers a mandate to enact the pro-American immigration reforms that the President campaigned on. McConnell also warned that it would be "dumb" and political suicide for Democrats to shut down the government and endanger national security over unrelated legislative policy matters, such as granting work permits to illegal immigrants.

Hannity: 'It Was San Francisco's Sanctuary City Policies That Killed Kate Steinle'

In his open monologue tonight, Sean Hannity reacted to the acquittal of Jose Ines Garcia Zarate and said San Francisco's sanctuary city laws is what killed Kate Steinle.

"It was San Francisco's sanctuary city policies that killed Kate Steinle," Hannity said Thursday. "They did not obey the law. They followed these ridiculous liberal policies, and because of their stupidity and their 'form of justice' and caring more about the rights of illegal, convicted felons, tonight Kate Steinle is dead and her family has received no justice."

President Trump tweeted about the result: "A disgraceful verdict in the Kate Steinle case! No wonder the people of our Country are so angry with Illegal Immigration."


Former FOX News Bill O'Reilly, who covered the case for years and was a champion for 'Kate's Law,' also weighed in on the acquittal on Twitter. O'Reilly said it is now up to Jeff Sesions to charge Jose Ines Garcia Zarate. The commentator called it a "litmus test" for the U.S. Attorney General.

Kate Steinle’s killer found not guilty of murder. Not since OJ Simpson has this kind of verdict been dropped. At the very least manslaughter - he had a stolen gun! Awful.

— Bill O'Reilly (@BillOReilly) December 1, 2017

Prayers for the Steinle family. Feds should immediately charge the thug with a variety of immigration crimes. What’s happening to America?

— Bill O'Reilly (@BillOReilly) December 1, 2017

It is now on Attorney General Sessions to charge Kate Steinle’s killer with serious immigration violations. This is a litmus test for Mr. Sessions.

— Bill O'Reilly (@BillOReilly) December 1, 2017

Trump's tweet:

A disgraceful verdict in the Kate Steinle case! No wonder the people of our Country are so angry with Illegal Immigration.

— Donald J. Trump (@realDonaldTrump) December 1, 2017

Trump calls Kate Steinle verdict 'disgraceful,' says 'no wonder' people are 'angry with illegal immigration'

President Trump late Thursday tweeted that the not guilty verdict in the Kate Steinle murder trial was “disgraceful,” highlighting his apparent frustration at the resolution of a case he had cited during his presidential campaign as a justification for tougher immigration enforcement.
“A disgraceful verdict in the Kate Steinle case!” Trump tweeted after the jury rejected possible charges ranging from involuntary manslaughter to first-degree murder. “No wonder the people of our Country are so angry with Illegal Immigration.”
Jim Steinle, who was walking with his 32-year-old daughter when she was killed, echoed Trump’s sentiments, telling the San Francisco Chronicle the family was saddened and shocked by the verdict.
"There's no other way you can coin it. Justice was rendered, but it was not served," he said in what he called the last interview he would do about the case.
A jury earlier Thursday found Jose Ines Garcia Zarate not guilty in Steinle’s killing on a San Francisco pier during the presidential primary campaign in 2015.

A disgraceful verdict in the Kate Steinle case! No wonder the people of our Country are so angry with Illegal Immigration.

— Donald J. Trump (@realDonaldTrump) December 1, 2017

U.S. immigration officials said they will deport Garcia Zarate, who had been deported five times and was wanted for a sixth deportation when Steinle was fatally shot in the back while walking with her father.
The killing touched off a fierce national immigration debate, and was used by then-candidate Trump to push for a wall on the Mexican border.
"From Day 1 this case was used as a means to foment hate, to foment division and to foment a program of mass deportation. It was used to catapult a presidency along that philosophy of hate of others," defense attorney Francisco Ugarte said after the verdict. "I believe today is a day of vindication for the rest of immigrants."
The case spotlighted San Francisco's "sanctuary city" policy, which limits local officials from cooperating with U.S. immigration authorities.
Politics, however, did not come up in the month-long trial that featured extensive testimony from ballistics experts. Defense attorneys argued that Garcia Zarate was a hapless homeless man who killed Steinle in a freak accident. Prosecutors said he meant to shoot and kill her.
Garcia Zarate did not deny shooting Steinle and said it was an accident.
Jurors did find him guilty of being a felon in possession of a firearm, meaning he knowingly had a firearm but there was no intent for him to hurt or shoot anyone. Public Defender Jeff Adachi said the count carries a potential sentence of 16 months to three years behind bars.
The family did not attend the reading of the verdict. Jurors left without comment and the judge sealed their names.
Before the shooting, Garcia Zarate finished a federal prison sentence for illegal re-entry into the United States and had been transferred to San Francisco's jail in March 2015 to face a 20-year-old charge for selling marijuana.

Tax Cartoons

Tax cut bill clears Senate test vote as Trump eyes 'big victory'

The Republican plan to overhaul the nation’s tax system cleared a key procedural hurdle in the Senate on Wednesday, as President Trump rallied support for the bill and called it the “beginning of the next great chapter for the American worker.” 

The bill advanced on a 52-48 party line vote, allowing senators to start debate on the sweeping legislation. 

Ahead of the floor vote, President Trump traveled to Missouri to rally support for the bill -- and pressure Congress.
“Now comes the moment of truth,” the president said during a rally in St. Louis. “In the coming days, the American people will learn which politicians are part of the swamp and which politicians want to drain the swamp.”
He said, “The eyes of the world now turn to the United States Senate. ... A successful vote in the Senate this week will bring us one giant step closer to delivering a big victory to the American people.”
Speaking at the St. Charles Convention Center on Wednesday, the president said he is working to “help push our plan for historic tax cuts right across the finish line.”
“A vote to cut taxes is a vote to put America first again,” the president said in St. Louis. “We want to do that, we want to put America first again. It's time to take care of our workers, to protect our communities and to rebuild our great country.”
He also took aim at Missouri’s Democratic senator, Claire McCaskill, a top Republican target in the 2018 midterm elections.
“Senator Claire McCaskill -- have you ever heard of her? -- is doing you a tremendous disservice,” Trump said. “She wants your taxes to go up. She's weak on crime. She's weak on borders. She's weak on illegal immigration. And she's weak on the military. Other than that, I think she's doing a fantastic job.”
Critics say both the House and Senate versions will disproportionately help the wealthy and corporations.
But Trump on Wednesday argued some super wealthy people – including himself – won’t like everything in the bill.

Ahead of the floor vote, President Trump traveled to Missouri to rally support for the bill -- and pressure Congress.  (AP)

“We're also going to eliminate tax breaks and complex loopholes taken advantage of by the wealthy… I think my accountants are going crazy right now,” he said.
He added: “It's all right. Hey, look, I'm president. I don't care. I don't care anymore. I don't care. Some of my wealthy friends care. Me, I don't care. This is a higher calling.”
The bill still faces hurdles in the Senate, where Republicans have just two votes to spare in their 52-48 edge over Democrats.
“If they send it to my desk, I promise all of the people in this room, my friends, so many friends in this room -- a great state -- I promise you I will sign it,” Trump said. “I promise. I will not veto that bill. There will be no veto.”
As it stands, the Senate’s tax overhaul plan is different from that of the House’s version. The two chambers would need to come together on a unified piece of legislation to advance to President Trump’s desk.
Under the Senate bill, the standard deduction – the amount which reduces the amount of income Americans are taxed – would increase to $12,000 for individual filers and $24,000 for married couples.
When it comes to reducing the corporate tax rate, both chambers want to see the tax rate lowered to 20 percent from 35 percent. However, the Senate measure would delay the implementation for one year.
The Senate’s tax plan would eliminate state and local tax deductions – meaning taxpayers in high-tax states would lose a write-off. This would impact mostly blue states, such as California and New York.
The Senate’s tax plan also includes a repeal of the individual mandate, the ObamaCare requirement for Americans to have health care.
The Senate tax reform measure would leave the mortgage deduction pretty much alone, capping it at $1 million. The House plan, on the other hand, would drastically reduce the cap on the popular deduction to mortgage interest to $500,000.