Four Policy Fights Set to Shake Up the 2025 Tax Cliff, Explained

Republicans in control of Washington will have a fight on their hands next year as they plan how to extend parts of the 2017 GOP tax law, which cut levies on corporations, households, small businesses, and wealthy estates.

The GOP is likely to use the budget reconciliation process to effectively cut Democrats out of deliberations. Still, GOP leadership will have to navigate decisions about the debt, President-elect Donald Trump’s campaign promises on new tax moves and tariffs, the state-and-local tax deduction cap, and what to do about the Biden administration’s energy credits.

Razor-thin GOP majorities in both House and Senate ...