WASHINGTON _ The House Ways and Means Committee plans to hold hearings in May on changes to the tax code, including a border-adjusted tax, Chairman Kevin Brady said Sunday.
The hearings would be the next phase of an effort to overhaul the U.S. tax code by year-end, a goal that Brady and President Donald Trump's administration share.
Brady, R-Texas, said Sunday that he remains committed to the border-adjustment concept, which is struggling to win support in Congress. It wasn't included in Trump's one-page tax outline released last Wednesday.
Under a proposal Brady and House Speaker Paul Ryan, R-Wis., released in June, the 35 percent corporate income tax would be replaced with a 20 percent tax on U.S. domestic sales. Their imported materials would be included in the tax, but not their exports _ the border-adjustment feature.
That was estimated to raise more than $1 trillion in new revenue, an important part of making a new tax plan revenue-neutral, which is a way to ensure that the tax changes could be permanent.
On Friday, Brady said news that the U.S. economy expanded in the first quarter at the slowest pace in three years "underscores the urgent need for pro-growth tax reform."
