Trump: US tax overhaul 'very close' to reality

By Michael Hernandez

WASHINGTON

A planned Republican overhaul of the U.S.’s tax code is near completion, President Donald Trump said Wednesday.

"We are very, very close to a historic legislative victory," he said as House and Senate leaders seek to rectify their bills against one another before sending an agreed upon version to Trump to be signed into law.

“It’s a massive tax cut for the middle class and it's about jobs,” Trump said at a White House luncheon with Republicans working on the bill. "And the jobs are really defined by the companies. The companies are going to be expanding and they're going to be creating jobs.”

The House passed its tax overhaul bill in November, and the Senate followed suit Dec. 1. But the bills have major differences, including the number of envisioned tax brackets and divergent expiration dates for a range of reforms.

Senate Majority Whip John Cornyn told reporters he is "confident" the bill will pass the legislature next week.

Republican Senate and House leaders have agreed in principle to a reconciliation bill, according to multiple reports. The agreed upon version drops the corporate tax rate from 35 percent to 21 percent and would be effective next year rather than 2019, according to the New York Times.

Trump said he would "be thrilled" to support a 21 percent corporate tax rate.

"We'll see. We have haven't set that final figure yet, but certainly 21 is a very great difference," he said.