On Thursday, Republicans on the Senate Finance Committee defeated Democrats’ efforts to block the Trump administration’s plan to shield President Donald Trump and his family from IRS audits while advancing a bipartisan tax administration bill.
The committee voted 14-13 along party lines to reject an amendment that would have barred the administration from implementing the audit protections. Lawmakers later approved the underlying legislation in a 26-1 vote, with Senator Elizabeth Warren of Massachusetts casting the lone dissenting vote.
Democrats have sharply criticized the administration’s plan, calling it an abuse of power that grants President Donald Trump treatment unavailable to other taxpayers. Republicans stated they are continuing discussions with the administration over possible revisions as part of negotiations surrounding acting Attorney General Todd Blanche’s nomination to become attorney general.
Finance Committee Chairman Mike Crapo, R-Idaho, argued that the amendment would have jeopardized the broader tax administration package, which contains more than 60 largely noncontroversial provisions intended to improve IRS operations. “This is not the place,” Crapo said. “If this bill were to become the vehicle where this issue is resolved, it would basically make this bill a partisan bill,” giving it “a much dimmer future for becoming law.”
Warren opposed the measure because it did not address the audit agreement. “No other taxpayer, ever, has gotten this kind of a deal,” she stated. “I cannot support a bill that rubber stamps President Donald Trump’s corruption. Congress needs to stand up and put a stop to it.”
The administration announced the audit plan in May after President Donald Trump agreed to drop what officials described as a likely unsuccessful lawsuit against the IRS over the disclosure of his tax information by a contractor to The New York Times. Under the agreement, the administration would shield President Donald Trump and his family from IRS audits.
The proposal has drawn criticism from Democrats and concern from some Republicans, including Senator John Cornyn of Texas, a Finance Committee member who has sought changes to narrow its scope. Cornyn has stated that protections should apply only to parties named in President Donald Trump’s lawsuit and only to tax returns already filed, not future ones. He said Todd Blanche agreed to those limitations during his confirmation hearing but wants the administration to formalize them in writing.
The Senate Judiciary Committee postponed a scheduled Thursday vote on Blanche’s nomination as Cornyn and White House officials continued negotiations over the audit agreement.
Senator Thom Tillis, R-N.C., another Finance Committee member who has raised concerns about the proposal, said he believes the administration is working “in good faith” to address lawmakers’ objections.
