The White House has said it wants to lower corporate and individual tax rates, eliminate deductions and simplify the code. Despite the officials' assurances on timing, many obstacles and unanswered questions remain about how to offset cutting tax rates with new revenue so the tax changes can be permanent under congressional budget rules.

Short said that the White House probably wouldn't be pushing for so-called full expensing, which would allow companies to fully deduct their capital spending from income immediately instead of over years. House Speaker Paul Ryan had pushed for full expensing, along with the controversial border-adjusted tax on imports, in his tax blueprint released last June.

“The message is: It may not be perfect for everything we want, but it's going to be really, really good for the economy and a lot better than what we have,” Mnuchin said.

A tax overhaul will require a delicate balancing act, and one that has bedeviled negotiators in the past. A major tax revamp hasn't been passed in more than three decades, and the Trump administration is under pressure after another legislative effort—repealing and replacing the 2010 health-care legislation—has produced no results.

Short said the president plans to do more traveling to pitch a tax overhaul than he did for the health-care effort. “From a travel perspective, you'll probably see more activity,” he said.

Few details of the planned tax code rewrite have emerged from weekly, closed-door tax meetings between Trump's advisers and congressional leaders, leading analysts to fear that any tax-rate cuts may be shallower than many hoped. That would jeopardize Trump's goal of spurring job creation and economic growth, and do little to prevent U.S. companies from shifting their income and tax liabilities offshore to lower-tax countries, economists say.

Negotiators have made “enormous progress” despite being “pretty far apart” when the effort to rewrite the tax code began during the transition, Cohn said Monday morning.

Still, he added: “We've got to get a lot done in the next three to four weeks.”

Inflated Chicken

About 50 protesters demonstrated outside the AFP event where Mnuchin and Short spoke. They were accompanied by large props including an inflated chicken sporting a hairstyle like Trump's—a reference to the protesters' saying the president is afraid to release his tax returns.

Trump has departed from 40 years of tradition for presidents by declining to make his returns public. He has said he's under an audit and won't release the documents until that review has concluded. The demonstrators held pre-printed yellow signs with slogans including “Medicaid Not Millionaires” and “No Tax Cuts For Trump.” They used bullhorns to tell stories about people who could be adversely affected by cuts in social programs if they're used to help pay for tax changes.

Last week, White House officials and congressional leaders released a joint statement outlining their tax principles, with the only real progress disclosed being that the border-adjusted tax wouldn't be part of negotiations going forward. That signaled a victory for retailers and other import-heavy industries and for groups backed by the Koch brothers, which opposed the measure.

The border-adjusted tax had helped Ryan and his allies propose lowering the corporate tax rate to 20% from the current 35%. Trump has called for going even lower—to 15%, a target that may be far harder to achieve.

Sen. Orrin Hatch, chairman of the tax-writing Finance Committee, tried to temper expectations on corporate rates when talking to reporters Monday.

“The art of the doable is the threshold right now,” Hatch said. “Anywhere between 15 and 25% would be tremendous.”

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