WASHINGTON — Municipal bond market participants, on guard against proposals to limit or eliminate the tax exemption, doubt 2014 will bring comprehensive tax reform.
Movement will be slowed not only by political gridlock, they say, but also by changes in leadership in the House and Senate tax-writing committees. President Obama intends to nominate Senate Finance Committee Chairman Max Baucus, D-Mont. to become ambassador to China. And House Ways and Means Committee chairman Dave Camp, R-Mich., in his last year of his term as chair in 2014, is unlikely to receive a waiver from term limits to continue to hold the job. Rep. Paul Ryan, R-Wis., chairman of the House Budget Committee, has already said he would like to take over leadership of the tax committee.