With the pace of change in Washington, our CFOLC chapters are often asked to host events that can provide some insight into today’s most important issues.
Last week, our New Jersey Chapter held a webinar titled “The Trump Effect in 2018.” The speaker, James Slotnick, Head of Government Relations from Sun Life Financial, packed a fair amount of information into the event, and there were a few items that really stood out to me that are worth sharing:
- While the highlight of President Trump’s first year was moving tax reform through Congress, his ability to move U.S. Appeals Court judges through the confirmation process could be just as impactful. These are lifetime appointments, and the President’s nominees all have deep Conservative backgrounds. While President Obama was only able to get 3 Appeals Court judges confirmed in his first year, and President W. Bush 6, President Trump had 12 appointees confirmed, the most of any President in their first year in office.
- Moving legislation through Congress is going to be more difficult for President Trump in 2018 than it was in 2017. The Tax Reform legislation used the “Budget Reconciliation” process, a method of moving certain types of legislation with a fiscal impact through Congress. The Reconciliation process meant that there was a set time limit for debate on the bill – taking away the Democrats ability to filibuster. This process will not be available for most pieces of legislation the President wants to move on in 2018 – meaning having Democratic support will be necessary to move legislation, particularly in the Senate
- While the Tax Reform legislation has passed, the “interpretive” part of Tax Reform has just begun. The IRS and U.S. Treasury will be asked to provide a fair amount of guidance over the next few years to help taxpayers and companies understand how to comply with the tax code’s changes
- As the mid-terms approach, the cable news channels will ramp up the talk about the Democrats taking the House and the Senate. While that might happen, the Democrats are not well positioned to take the Senate. There are 33 seats up for re-election, 25 of those seats are held by Democrat, and 10 of those 25 are in states won by President Trump in the 2016 election. Anything can happen, but the path in the Senate is a difficult one for the Democrats.
Want To Hear More?
We’ve got an archived version of the recording and slides – just click the button below to get access!
Further, if you want to take a deeper dive into the Tax Reform bill and its effects on businesses, we highly encourage you to register for our next Ask The Expert Call on Tax Reform 101 (February 22, 2018 @ 12:00 p.m. ET) – click here to get started.
Remember, this call is open only to current CFOLC members – if you’d like to learn more about membership, please go here.
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