Peterson: Senate tax bill is better than House bill
House Agriculture Committee ranking member Collin Peterson, D-Minn., said today that the Senate tax bill is “a lot closer to something I can support” than the House bill and that he hopes changes are made so he can support the conference report.
In an interview on the sidelines of the introduction of the turkeys to be presented at the White House Tuesday, Peterson told The Hagstrom Report he supports lowering corporate tax rates, but not at the expense of raising taxes on individuals.
Peterson said he supports raising the exemption on the estate tax but not eliminating it. He also said he believes that the provision allowing co-ops to pass along a production and marketing cost tax break to the members should be continued. The current House and Senate bills eliminate the provision, which is known as Section 199.
Co-ops don’t pay income taxes and therefore if this is taken out the co-ops “get nothing” form this tax bill, he said.
The provisions to eliminate or reduce the deduction for state and local taxes are “a problem in Minnesota and I’ve heard about it from my constituents,” he said.
The provision to eliminate the deductibility of medical expenses such as long-term care for people with Alzheimer’s disease is also a problem because it will raise costs for needy people while raising very little revenue, he added.
Peterson said he is in favor of eliminating the individual insurance mandate under the Affordable Care Act, but noted that eliminating it will make passing a tax bill difficult and that the White House has said the Trump administration understands that the provision may have to be taken out to pass the bill.
–The Hagstrom Report