House Republicans are urging President-elect Trump to intervene in a growing debate over how to approach their legislative priorities. As the GOP considers whether to begin with a reconciliation bill on taxes or split its agenda into multiple bills, many lawmakers are looking to Trump for clarity on the path forward.
“We need the President to make a call soon and provide direction,” said Rep. Kevin Hern (R-Okla.), referring to the Ways and Means Committee chair, Jason Smith (R-Mo.), who has resisted the Senate’s proposal to divide the agenda. The Senate’s plan prioritizes a border policy bill, where Republicans largely agree, followed by a tax package later in 2025.
The tax reforms, however, involve divisive issues such as the SALT deduction cap and parts of the Biden administration’s climate law that some seek to repeal. Trump’s campaign promises for more individual tax cuts further complicate the process.
Some lawmakers argue that advancing a border and energy bill first could give the GOP early wins ahead of the midterm elections. Others worry it might require scaling back their ambitions for tax cuts to ensure passage before key provisions of the 2017 Tax Cuts and Jobs Act (TCJA) expire.
Rep. Drew Ferguson (R-Ga.) expressed hope for Trump’s guidance, stating, “We’re waiting to hear what the President suggests because that’s the direction we’ll follow—whether one bill or two.” Similarly, Rep. Mike Kelly (R-Penn.) emphasized Trump’s role, noting that much depends on discussions with the incoming administration.
Trump has hinted at prioritizing tax legislation in his first 100 days but has yet to clarify whether he prefers combining initiatives into one package or pursuing them separately. Speaking on NBC’s Meet the Press, he suggested tax cuts could appear in either the first or second package, adding, “It might come later.”
Meanwhile, House Republicans remain divided. Rep. Joe Wilson (R-S.C.) voiced support for combining everything into one package, citing the benefits of the TCJA. However, Ways and Means Committee members favor addressing tax cuts first to avoid the expiration of key provisions.
Some GOP members, such as Rep. Adrian Smith (R-Neb.), remain undecided on the strategy, preferring a single bill but open to compromise if it proves more productive. However, the conservative House Freedom Caucus advocates starting with border security, followed by a tax and energy package later.
Trump’s ambitious proposals, which include modifying the SALT cap, exempting Social Security benefits from taxes, and eliminating taxes on tips and overtime, add further complexity. He has also proposed tariffs, which, if enacted, wouldn’t contribute to deficit reduction.
The stakes are high, with key provisions of the 2017 tax cuts—such as personal income tax rates and deductions—set to expire by 2025. Estimates suggest extending the cuts and implementing Trump’s proposals could increase the deficit by up to $15 trillion, according to the Committee for a Responsible Federal Budget.