The GOP-controlled House is gearing up to vote on a bipartisan tax deal this week, and one House Republican‘s job could be in peril over perceived slights concerning negotiations and making concessions to Democrats.
The House Ways and Means Committee, led by Rep. Jason Smith (R-MO), passed the $78 million tax bill, 40-3, which includes expanding the child tax credit and restoring since-expired tax provisions for businesses. The tax deal had overwhelming bipartisan support in the Senate and House even before the child tax credit, a major Democratic agenda item, was on the table.
But now, Smith’s gavel could be in jeopardy from his own party members upset with the outcome.
Senior Republican sources told Axios that Rep. Vern Buchanan (R-FL), who narrowly lost the three-way race for the position last year, has been urged to challenge Smith for the committee chairmanship. The possible coup comes as multiple GOP lawmakers said they were frustrated with the way the tax deal was handled.
Some members have argued they were unaware of the tax deal until it was released on social media, while others said they were not consulted on negotiations.
“I don’t know who the f*** he’s dealing with,” a GOP lawmaker said. “How does Jason Smith announce the deal before the speaker knows about it?”
“Jason negotiated with the Senate and the Dems,” the lawmaker continued. “For some reason, Republicans weren’t included in his negotiation.”
With former Rep. Kevin McCarthy out as speaker and out of Congress, some lawmakers believe that a challenge to Smith’s leadership may be more favorable to someone outside of the California Republican’s circle.
“I’m sure Vern is hearing this [complaints about the panel], and most would tell you that they don’t believe that Jason would have ever been Ways and Means chair if not for McCarthy,” a senior Republican source said.
Expanding the child tax credit has become popular among Republicans, as some say it will incentivize family growth and help low-income families support children, which is seen as complementary to opposing abortion. However, the bill faces obstacles in the House, as it will likely be fast-tracked this week for a vote as early as Wednesday and requires a two-thirds vote to pass, NBC News reported.
Sources told the Hill that a private call between Smith, House Speaker Mike Johnson (R-LA), and other Republicans in the state and local tax “SALT” caucus became heated on Thursday. The SALT caucus members expressed frustration that the bill does not raise the cap on federal deductions for state and local taxes, which is a priority for members particularly out of New York, California, and other states with higher tax rates.
Rep. Nick LaLota (R-NY), whose constituents were hit by a Donald Trump-era tax law that placed a $10,000 cap on SALT deductions, led the GOP dissenters on the call and, at one point, raised his voice. He told reporters he will vote against the bill.
“I’m a no on the tax package that does not have adequate relief for SALT,” LaLota said. “I’m willing to fight for my constituents by voting no.”
Rep. Chip Roy (R-TX), a hard-line conservative and member of the Freedom Caucus, blasted the bill on the podcast Fox Across America w/ Jimmy Failla released last week.
“I’m sick of these gutless cowards in Washington. You know what we’re gonna put on the floor next week, Jimmy? A tax cut bill for corporations,” Roy said. “Because Republicans are whores for endless wars and corporations. That’s it. That’s what they stand for. And I’m not gonna pretend that it’s something else.”
Anger from hard-line conservatives is directed at Johnson as well.
“I think the speaker is trying to reflect the will of this conference and the Congress and call the balls and strikes,” Rep. Scott Perry (R-PA) told the Hill. “I’m hoping he will see this for what it is and send it to the Rules Committee.”
Despite the unrest among some Republicans, allies of Smith have dismissed the idea that a challenge against the Missouri Republican would be successful.
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“Chairman Smith is leading the Ways and Means Committee to get things done and deliver real results for the American people. This legislation is a huge win,” Rep. Carol Miller (R-WV) told Axios.
The Washington Examiner reached out to Smith for comment.