House and Senate must reach agreement on budget resolution before budget reconciliation process may continue.
The U.S. House of Representatives last night passed (by a vote of 217-215) a 2025 budget resolution that includes instructions allowing the Ways and Means Committee to increase the deficit by up to $4.5 trillion over fiscal years 2025-2034 in a possible future reconciliation bill. The Ways and Means instruction would make possible an extension beyond 2025 of the tax provisions of the 2017 Tax Cuts and Jobs Act (TCJA). Read TaxNewsFlash
Next steps
The Senate last week passed (by a vote of 52-48) a different budget resolution that contemplates more limited reconciliation legislation, addressing border security, defense, and energy issues, but not tax. The House and Senate must reach agreement on a budget resolution before the budget reconciliation process may continue to reconciliation legislation.