Senate Republicans block bipartisan tax package

By Benjamin Guggenheim | 08/02/2024 06:53 AM EDT

The legislation included provisions on innovation and disaster response.

Finance Chair Ron Wyden and Senate Majority Leader Chuck Schumer speak on the Hill.

Finance Chair Ron Wyden (D-Ore.) said "the goalposts kept moving" in negotiations with Senate Republicans over the bipartisan tax package. Francis Chung/POLITICO

The Senate killed a once-promising $78 billion tax package on Thursday in the chamber’s last vote before lawmakers headed out of Washington for August recess.

The bill went down in a vote of 48-44, with the vast majority of Republicans, one Democrat and two independents voting against a procedural motion to limit debate on the measure, which includes an expansion of family tax credits and would revive a trio of lapsed business breaks. It needed 60 senators in favor to succeed.

The vote came a full six months after the House passed the legislation by an overwhelming bipartisan vote of 357-70 — and greatly reduces any chance that Congress will put together any major tax legislation before lawmakers have to reckon with the expiration of the trillions of dollars of the Trump tax cuts in 2025.

Advertisement

It also came amid a heated national debate over family policy stoked by controversial comments that Sen. JD Vance (R-Ohio), former President Donald Trump’s vice presidential running mate, made in the past that denigrated Democrats who don’t have children. Vance, who was absent for the roll call, has said his comments were taken out of context.

GET FULL ACCESS