Last week's Congressional approval of a $689B tax bill could be the catalyst for tax reform in 2017.

Hinging upon a number of costly tax breaks that "could be traded as part of future legislation," the proposed bill alters the budget baseline in a way that makes it easier to reduce the current 35% corporate tax rate without adding to the budget deficit.

Lowering the corporate tax rate—among the highest in the world—has long been a goal for Republicans, who say it makes the US less competitive on the global stage.

"This will set the stage," Senate Finance Committee Chairman Orin Hatch (R-Utah) tells The Hill. "We're going to have a lower baseline. We'll have a better chance to do comprehensive tax reform."

Hatch and Sen. Charles Schumer (D-NY) are among the senators who will play a major role in tax negotiations during the next session of Congress. Schumer has also been in talks with House Speaker Paul Ryan about pushing legislation through next year to overhaul the tax code for overseas corporate income.

"We're going to try to do something in 2016 on international tax reform," Schumer says. [Hill]