US Republicans from both houses of Congress have revealed their joint bill for the biggest overhaul of the country’s tax system in 30 years.
The plan brings the US corporate tax rate down to 21% from the current 35%.
The top individual income tax drops to 37% from 39.6%.
President Donald Trump campaigned on a pledge to cut taxes, and passing the legislation marks a significant victory. He has said he wants the bill signed into law before Christmas.
The Senate and the House of Representatives – which both have Republican majorities – are due to vote on the measures next week.
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Democrats have argued that the tax cuts will favour only the rich, offer little to the middle class and add as much as $1.5tn (£1.1tn) to the $20tn national debt over 10 years.
Friday’s agreement came after hours of talks in which the bill’s supporters sought to win over wavering Republicans.