Tomorrow is election day, with control of both the House of Representatives and Senate in play. Regardless of which party retains or gains the majority in either chamber, we anticipate significant changes to the Congressional tax-writing committees. 

Of course, a change in control could trigger changes in the party ratios on either committee, causing the addition of members and sometimes the loss of a minority seat or two. Setting aside any potential change in control, however, there are other possible changes to the House Committee on Ways and Means and Senate Committee on Finance leadership and composition worth highlighting.

House Committee on Ways and Means

If re-elected, House Committee on Ways and Means Chairman Richard Neal (D-MA) is expected to retain the spot as the Democratic leader of the committee. The Republican side of the committee, however, will see a new leader given Ranking Member Kevin Brady's (R-TX) impending retirement. There currently is a three-man race for the top position among Representatives Vern Buchanan (R-FL), Adrian Smith (R-NE), and Jason Smith (R-MO), with the new leader decided later this year.

All members of the House are up for re-election. While a majority are running in relatively safe districts where they are almost assured of re-election, there are some members whose races may be competitive, including Representatives Dan Kildee (D-MI), Steven Horsford (D-NV), and David Schweikert (R-AZ). In addition, some committee members will not be returning, including Representatives Ron Kind (D-WI) (retiring), Stephanie Murphy (D-FL) (retiring), Tom Rice (R-SC) (lost primary), and Tom Suozzi (D-NY) (ran for governor). 

Senate Committee on Finance

Of the 35 Senate seats up for grabs, 10 are held by members of the Committee on Finance (four Democrats and six Republicans). The two leaders of the committee – Chairman Ron Wyden (D-OR) and Ranking Member Mike Crapo (R-ID) are both expected to retain their leadership roles if re-elected. A number of members are running in competitive races, including Senators Michael Bennet (D-CO), Catherine Cortez Masto (D-NV), and Maggie Hassan (D-NH). In addition, the retirements of three Republican members of the committee – Senators Richard Burr (R-NC), Rob Portman (R-OH), and Pat Toomey (R-PA) – have led to competitive races for those seats as well. In addition, Senator Ben Sasse (R-NE) is expected to resign next month to become the next president of the University of Florida.

Georgia voters may once again decide which party controls the Senate next year. If no candidate tops 50 percent of the vote tomorrow, a run-off election between the two top candidates – presumably Senator Raphael Warnock (D-GA) and Republican contender Herschel Walker – will be scheduled for December 6, 2022.

Tomorrow's elections will have significant ramifications on the makeup of the tax-writing committees and their policy agendas. Stay tuned. #TaxTake

Upcoming Speaking Engagements and Events

Loren will speak on a tax policy panel at the ABA 33rd Annual Philadelphia Tax Conference on November 15.

Marc will provide a Washington update at the TEI Nebraska 15th Annual Fall Seminar on November 15.

On December 1, Marc will speak at the 2022 BCBS National Tax Conference. His panel will discuss federal and state tax policy developments. 

In the News

Jorge commented on the timing for a Senate-confirmed IRS Commissioner in Bloomberg Tax. On the possibility of confirming a new commissioner after the midterm elections, Jorge said a lame-duck confirmation is "too tight a window," especially if Republicans win control of the Senate.

Jorge was quoted in Bloomberg Tax, Politico, and Tax Notes regarding the appointment of Douglas O'Donnell as Acting IRS Commissioner. Jorge called O'Donnell "a phenomenal pick," who will be "able to hit the ground running."

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