WASHINGTON, D.C. – Representative Jody Hice (GA-10) today applauded the passage of H.R. 1, the Tax Cuts and Jobs Act, the first overhaul of the United States Tax Code in three decades. The Tax Cuts and Jobs Act is a critical step toward creating jobs, growing the economy, raising wages by reducing rates, removing special interest carve-outs, and making our broken tax code simpler and fairer.
“After many months of hard work and discussion, today marks another important milestone in the process of reforming our tax code for the first time in over 30 years,” Hice said. “Hardworking Americans are tired of struggling under a weak economy. They are ready for relief and the House is ready to deliver that relief. The Tax Cuts and Jobs Act is a step forward for American workers and American families and will usher in a new era of prosperity in America. The measure that passed today lowers tax rates, simplifies the code, doubles the standard deduction, and increases the child tax credit, all of which will put more money into the pockets of Americans and give them more flexibility when it comes to spending their hard-earned dollars.”
“By lowering taxes on small businesses and other job creators, our plan also makes the reforms necessary to boost our economy, while giving Americans access to the kinds of jobs, wages, and opportunities that will set them up for a secure and successful future,” Hice said. “I commend House Way and Means Chairman Kevin Brady and Speaker Paul Ryan for their leadership throughout this process. While there are still steps left before any tax laws are changed, I’m optimistic and look forward to working with my colleagues in the Senate and the Trump Administration to ensure that a pro-growth, pro-family, and pro-worker tax reform package is signed into law.”
H.R. 1 incorporates language from H.R. 781, the Free Speech Fairness Act, sponsored by Hice and House Majority Whip Steve Scalise (LA-01). H.R. 781 will restore free speech and religious liberty to churches and other nonprofits by allowing their leaders to speak openly about the important moral, social, and political issues of the day without fear of losing their tax-exempt status.
Hice also played an instrumental role in including the Adoption Tax Credit provisioninto the tax reform package.
H.R. 1, the Tax Cuts and Jobs Act:
- Lowers individual tax rates to zero, 12 percent, 25 percent, and 35 percent and maintains the 39.6 percent for the wealthiest Americans;
- Doubles the standard deduction so more income will be protected from taxation – from $6,350 to $12,000 for individuals and $12,700 to $24,000 for married couples;
- Expands the Child Tax Credit from $1,000 to $1,600 to help parents with the cost of raising children, and creates a new $300 Family Tax Credit for each filer and non-child dependent;
- Continues to allow the deduction of charitable contributions so people can continue to donate to their local church, charity, or community organization;
- Provide immediate relief from the Estate Tax (better known as the “Death Tax”) by doubling the exemption and then repealing it entirely after six years;
- Ensures the continued construction of two new nuclear reactors at Plant Vogtle near Augusta by eliminating a 2020 sunset date for nuclear production tax credits;
- Reduces the corporate rate from 35 percent to 20 percent;
- Creates a new special rate for pass-through business income at 25 percent, down from the roughly 40 percent many small businesses pay today;
- Allows businesses to immediately write off the full cost of new equipment to improve operations and enhance the skills of their workers; and
- Protects the ability of small businesses to write off the interest on loans that help these Main Street entrepreneurs start or expand a business, hire workers, and increase paychecks.