Tax Bill’s Cost Could Hit $2.2 Trillion Over Next Decade

The Republican tax bill is loaded with expiring provisions and delayed tax increases that help it comply with budget rules but hide its likely real cost; if policymakers down the road don’t let these provisions take effect, as leading Republicans say they prefer, the bill’s cost would be about $2.2 trillion over the first decade (2018 to 2027) — or almost 50 percent more than the Joint Committee on Taxation’s (JCT) official cost estimate of $1.5 trillion. The final bill relies even more on these sunsets and delayed tax increases than previous versions of it. That’s not surprising, given that House-Senate negotiators were, according to Senator Ron Johnson, “literally trying to squeeze about $2 trillion in tax reform into a $1.5 trillion box.”
Share This