>> announcer: this is "nightly busine the yeas are 227 and the nays are 223. without objection the motion to reconsid >> tax vote do-over. the house passes the biggest revamp of the u.s. tax code in three decades. or so it thought. >> the sweeping tax proposal is expected to be signed into law and it could have implications for the economy. the bull market. businesses big and small. and you. those stories and more tonight on "nightly business r for tuesday, dec. good evening, everyone, and welcome. the house passes an historic overhaul of the u.s. tax code.

the senate was the same. but then a mistake. thn of th tax bill ran afoul of senate rules. the senate may or may not vote on compliant legislation tonight. but what is certain is that the house will take a do-over tomorrow. the proposal is expected to pass the house and the senate. the house, again. and be signed into law civiliy by the president. while there have arguments for and against the man ove overhaul, one thing is clear. every business, from corporate titans on wall street to the little shop on the corner, will be affected. ylan mui has been covering the story from the beginning and she joins us from the hill tonight. ylan, take us through this and take us through this little snag that the thing hit. >> reporter: tyler, republicans are so close to the finish line on what they're calling a sweeping, massive overhaul of the u.s. tax code.

house speaker paul ryan called this a once in a generation opportunity to put more money bae wallets of american families. >> this is a good day for america. this is a good day for workers. this is a great day for growth. we're very excited about this moment. >> reporter: the senate is still deba the bill. right now it's expected to vote on that bill tonight d this procedural snag that will force the house to revote on this bill tomorrow. the democrats are seizing on this moment as an example of the way that republicans are trying to jam through this bill in a rushed process. house minority leader nancy pelosi said this is only serving to energy the democratic base. >> the republicans will have an apparent victory. what they have created in our country is a coalition, a collaboration of effort of people who care about one

another. wh >> reporter: repub say that the problems require only technical corrections. i spoke to house ways and means committe kevin brady who said it's no big deal and republicans plan to get the bill to the p by the end of the week. >> ylan, they're facing a short timeline to get this done and a big deadline. what does it do to the possibility of a government shutdown? >> rep well, it certainly raises the risk that republicans will run out of time to negotiate a deal with democrats before the deadline for that shutdown on friday. so this eats into the valuable time they had to come to some sort of agreement. republicans had hoped to clear this off their plate and move on to a spending negotiations. now they'll have to still deal with tax reform tomorrow. >> ylan mui on capitol hill, thank you very much. bond yields moved higher after the house tax vote, making

it one of the sharpest two-day moves of the year. but stocks barely budged even though the prospect for tax reform has been one of the drivers of this bull market this year. so here are the closings numbers. e dow jones induse pulled back by 37 points to 24,754. the nasdaq was off 30. the s&p 500 fell eight. the economy does appear to be on solid ground. a survey shows holiday spending is on track to reach its highest level in a dozen years. that of course critical for economic activity, because spending accounts for such a large part of the u.s. economy. housing another pillar of the economy. and today we learned that housing starts, ground breaking basically, re to their highest level in a year. with stocks near all time highs, will it help power the market even higher? liz ann saunders from charles

schwab, always good to have you, welcome back. >> hi, sue, thank you. >> what's your net/net prevail of what this bill as it stands now would do for the economy and the markets? >> well, the short answer is we don't know. if you look at the business side, i think the expensing provision is important for capital spending. keep in mind, capital spending already has seen a decent amount year. if we were coming off a much lower base, there would be greater optimism. i do think it will be an uptick in business capital spending. on the earnings side, which of course feeds into the economy, that to me is the big uncertainty. i think, you know, you can look at some of the consensus numbers, it adds a few percentage points to earnings. the question is what do companies do with those earnings. and th important in terms of the ripple effects in the broader economy. if they use those tax savings to just buy back more stock or maybe return it to shareholders through dividends, that's very

different th add to to capital spending or wages. on the consumer side, you'll see clearly a boost because of that extra out of pocket toward the end of the year, though, that's where you start to see people looking into what the actual year-end tax bill is going to be. so i think it's a clearer story in the beginning of next year than at the end of next year. >> what does your instinct tell you or what does history tell us about what corporations have done with earnings that are not windfalls but that derive from a tax cut or from in this case repatriating profits that have held overseas? do we know anything about what they've typically done? >> we don't, only because the 100% expensing has not been done before. so we can't look an exact compo prior tax bills. if you go back to 2003, one thing i will say, and we don't know whether it's going to repeat this year, but there's been a lot of focus on t cbo

estimates of the implications foe economy. they still have pretty subdued forecasts for economic growth in 2018. they did the same thing in 2003. the economy actually grew at a pace about 1.2 percentage points higher in '03 and '04. we were earlier in the cycle, coming out of that early 2000s recession and bear market. that is different. one implication we have to be mindful of is this is coming at a much later point in the cycle. we're much closer to full employment. on potential risk of this is even if we see the acceleration, we may also see it in inflation. it may bring more inflation in a nearer time frame, which could mean a bit tighter monetary policy. so that is just something i think investors need to be mindful of. >> and we'll be talking to you throughout the year on it, i'm sure. thanks, elizabeth ann. the tax bill will likely usher in changes for small business owners who play an important role when it comes to

job creation. the bill is viewed by many as easing one of the biggest hurdles they it is a perform kate rogers has that part of the story. >> reporte tax reform has long been a key issue for main street businesses and advocacy groups are welcoming action taken today to reduce the burden america's smallest busines bear. the trump administration's prom of deregulation has se optimism soaring on main street with the national foundation of small businesses' index of sentiment hitting the highest leve ever. such organizat do support the bill despite initial criticisms of the plan which includes lower rates, a deduction on passthrough businesses, and a drop in the corporate rate to 21%. >> we've been generally supportive of the bill because it provides tax relief for most small companies. it encourages investment, both

from individuals and companies in their businesses. and it sort of sets the stage for economic growth over the next few years. but we are concerned that it increases the deficit. >> reporter: they say they would like to see an even simpler tax code put forth to ease burdens on small conditions. advocates are hopeful that congress will take up another effort to reform health care. >> health care costs are huge for small companies. our survey shows 65% of small companies say that providing a good health care plan is really important for recruiting and retaining the best employees. but that's really tough for them in this environment because it's so expensive. and we've seen nothing that's developed that's reducing those costs for them. >> reporter: as washington reforms are under way, main street is watching closely. for "nightly business r" i'm kate rogers. that's the story about business, small businesses. but what about you? how might the tax bill affect your household finances? here to take us through a couple of scenari is joanna senas,

senior tax manager at the wealth advisory firm pegnato karp. whether you win or don't win, it is very particular to where you live, whether you live in a high tax state or a low tax state, whether you claim lots of exemptions because you have lots deponen children and so forth. >> that's very true. the new tax bill doubles the standard deduction. so if you currently item a lot of deduction, especially the state and local taxes, doubling the standard deduction does not always make up for those losses of itemized deductions that you're losing under the new proposed tax bill. in addition, you're losing out on exemptions under the proposed tax bill. so if you're a family that has multiple children as dependents, you lose exemptions for those

children as well. >> you were kind enough to work up examples that may encompass certain parts of our viewing audience tonight. if you make about $200,000, you're married with no children, and you live in a high tax state, we chose new york as one example, although there are many, what is that going to do to you in particular? >> so in that scenario, you are paying about i believe $3300 more in taxes. and that's because of the loss of your state and local tax deduction for new york city and new york in general, which is a very high tax state. >> $100,000 of income, married, two children, and a relatively low tax state that happens to be my home state of virginia, what happens there? >> there is no change. so under the proposed bill and the current tax law, you'll be paying the exact same amount of taxes. >> we're going to stay in virginia. $150,000, married with two

children, you're going to gain a little bit in this case. >> that is correct. >> in other words, pay more. >> yes. >> pay more because why? >> so that one is because you're losing out on the exemptions for your children. and because of the itemized deductions that you're no longer going where you start to see the increases of taxes, where the doubling of standard deduction doesn't make up for the loss of exemptions for your children. >> finally, this may encompass a number of millenials or young people out there. you make about $60,000, you're single, live in a low tax state. you came up with a finger of about $1600 that you would pay less, your taxes would decrease. >> exactly, you would have more in your pocket in that scenario. >> joanna, thank you very much. >> absolutely. >> appreciate it. >> thank you so much. >> you're welcome. ahead, the big push

>> reporter: the pipeline industry is betting big on shale production. and a pro-energy administration. but with a volatility in oil prices, will it pay off? that stoly federal regulators have approved the so-called living wills of the eight large u.s. banks but said half of them need to be revised. a living will is a plan that detas how a bank can be

dismantled without governm if the company begins to fail. regulators say the plan submitted by bank of america, goldman sachs, morgan stanley and wells fargo have room for improvement. people are getting a lot o . that helped fedex report better than expected profit and revenue in the most recent quarter. but the company still hasn't been able to fully shake off the impact of the june cyberattack on its dutch tnt express unit. shares of fedex in initial after hours trading were volatile. morgan brennan breaks down the fedex quarter. >> reporter: fedex posted a heavy seconds veit. perhaps the biggest news is the prospect of tax reform. fedex raising its 2018 profit outlook as sales grow and the company recovers from a costly

sir ak lasti summer. but the company says the forecast could climb much more if the tax bill moving through congress becomes law. fedex expects to earn $13.30 per share adjusted. if the tax cuts and jobs act becomes reality, that could increase by another $5.50 per share. there are only two quarters left for fedex's fiscal 2018 year. this highlights just how big a boon tax reform could potentially be for the capital incentive companies like transportatit rates. for "nightly business r" i'm morgan brennan. darden restaurants reports improving sales growth. a rise in customer visits helped same-store sal at the restaurant operator eke out a 3% gain. that impressed analysts. earnings and revenue also ahead of expectations. the owner of olive garden raised

guidance forded ye year. darden shares up today at $96.99. fast food restaurant chain jack in the box will sell the mexican chain qudoba for 300 million bucks. earlier in the year jack in the box said it was considering strategic options for the brand. ja jack. navistar said it benefit from stronger sales and steady improvements in new products. the company called 2017 a breakthrough year. >> it was a good quarter for us. and it was the second consec quarter profitability.

it contributed to being a profitable year. this is our first profitable year since 2011. >> navistar shares are up on the session. carnival reported results well ahead of estimates, saying higher ticket prices helped offset negative impact from all those hurricanes this past summer. the world's largest cruise operator said bookings for 2018 are already stronger than last year's. carnival said growth is coming from all areas of the globe. >> it's really being driven by almost every market in the world. but really, it's by creating demand, creating excess demand to capture more of the value that exists between a cruise and the equivalent land based vacation. >> carnival shares rose 2% to $68.13. the hospital operator tennent health care said it may consider its profitable medical building and debt collection unit.

tennent, which really announced cost cutting measures, says it plans to expand those cuts by another $100 million by the end of next year. the shares were higher by nearly 2% to $15.03. spark therapeutics said its gene therapy for treating a rare genetic eye disease won fda approval. this marks the first time u.s. health officials have green lighted gene therapy for an inherited disease. spark said it will not disclose the price of the treatment until next month. the shares finished down fractionally to $48.94. the online styling service stitchfix reported better than expected results after the bell in its first earnings release as a public company. the company said it's on a sharp rise in active clients. guidance and that disappointed investors. shares were initially hit in after hours trading but they finished the regular day up more than 3% to $24.76. nebraska's regulators denied

trans-canada's request to change its route for the proposed keystone pipeline. the state's initial approval was for an alternate route, not the one trans-canada prefers. it's the latest in a series of setbacks for the star-crossed $8 billion project. trans-canada must now decide whether to scrap the deal or move forward with the less favorable path. the trans-canada pipeline is just one of many being constructed to move all of the oi country. one company at the center of that construction is tanaris. jackie deangel reports from its pipe plant in bay c >> reporter: after you drill for oil, you need pipelines to move it around. those pipes are in demand, now that the u.s. discovered its shale reserve. add to that an administration fast tracking projects and supporting infrastructure. you need plants like this one, making seamless pipes to service

130 oil and gas rigs in the united states. >> during 2016 we saw productions grow by a bit more than 150,000 barrels a day. in the first quarter of 2017, after prices popped up, we saw quarter on quarter growth of more than 100,000 barrels per day. as soon as that production growth started to take off, we started seeing midstream companies coming into the picture and proposing new pipeline projects. >> reporter: behind me, w1.25 mill square feet of production space, making around 600,000 tons of pipe for pipelines in the oil and gas industry per year. this project began in 2013 and cost nearly $2 billion to build. during construction, more than 20,000 workers were trained and employed. now it will have about 600 employees. but the industry has seen some five years.s over the cour with the addition of u.s. shale,

a supply glut sent prices down two years ago, making drilling and many other parts of the business unattractive. the ceo says demand will be there. >> production decline different fees between 6 and 8%. so every year we need to increase drill t satisfy stable demand. every year, more than 1.4 million barrels of oil additional. d to prepare and think of how to supply this continual increase in demand. if we go on in our view for many years. >> reporter: their bay city plant produces seamless pipelines made from solid steel bars. the seamless p are believed to be softer and safer than the ones made from welded sheets. they use steel from several

countries but not from china. president trump said companies should use american steel. details of those orders are being worked out by the agencies. jackie deangelis, bay city, texas. >> a cool looking process, or maybe not. coming up, what's behind the bill for all of the red-hot bitcoin headlines recently, today there were some cooler ones. the sec temporarily suspended trading in shares of the crypto company until early january.

the agency is concerned about the, quote, accuracy and add questi of the information avaie to investors. shares of the company have surged more than 2500% in just the past month. separately, a widely followed investor survey today called bitcoin, quote, the most crowded investment in the world, which is a measure of a sentiment about a popular investment that could lose those gains. from bitcoin to bourbon. i'm getting ahead of myself, i'm so excited about this. it's becoming the drink of choice among many americans. companies are investing a lot of money in its growing popularity. landon dowdy got the right straw and is in frankfurt, ken >> it goes down so easy. >> reporter: u.s. whiskey has

been on the rise for the past five years and shows no signs of slowing down. >> i switched several years ago. >> there's definitely more of a bourbon boom. >> it's not really focused on one demographic. >> reporter: bourbon and whiskey sales jumped to 7% and 22% respectively last year, according to internati wine and spirits. companies are betting big, building a new warehouse every four months and filling it with whiskey at a cost of $25 million a pop. >> it's literally a giant but it's fine. i mean, if things start to slow down, we can actually decelerate the investment program. right now we're set no invest a billion doll in the next ten years. >> reporte and it's not just this company getting a boost from bourbon. others are benefiting too. stocks are up 40% year to date.

one company is investing $45 million to modernize its facilities and selling new bottling technology to double capacity to 100 bottles a minute and $50 million to build a distillery and visitors center to open next year. consumers are not only drinking more bourbon but more expensive bourbon. >> with an american whiskey, if you're at the premium end, you're at the best. this is the premium end of american whiskey. we're right with the trends right now. >> reporter: i had a chance to try the pappy van winkle bourbon aged for the majority of my lifetime. sold at $315 per shot or up to $5,000 per bottle. i'm going to go with this one because it's smootehest >> well done. >> reporter: can these companies make enough bourbon to keep up with the demand while it's still on trend? for "nightly business r landon dowdy in frankfurt,

kentucky. >> finally tonight, an anonymous donor is spreading holiday cheer. a check for $200,000 was dropped into a red salvation army kettle over the weekend in minneapolis st. paul. the salvation army said that check comes at a critical time since fundraising is running 10% behind last year's numbers. that's a great story to end on. >> lovely information. >> it is. that does it for us tonight. i'm sue herera. thanks for joius. >> i'm tyler mathisen. thanks from me as well. have a great evening, everybody

>> this is "bbc world news america." funding of this presentation is made possible by the freeman foundation, and kovler foundation, pursuing solutions for america's neglected needs. >> planning a vacation escape that is relaxing, inviting, and exciting is a lot easier than you think. you can find it here in aruba. families, couples, and friends can all find their escape on the island with warm, sunny days, cooling trade winds, and the crystal blue caribbean sea.