Palazzo Votes for Historic Tax Reform
Washington, DC – Congressman Steven Palazzo (MS-4) released a statement today following House passage of H.R. 1, The Tax Cuts and Jobs Act.
“Today marks a historic and vital legislative victory for this Congress, our President and our country. It has been 31 years since our tax code has been reformed. The American people want and need a simple, fair tax code, and I’m proud to say that is exactly what we’ve accomplished today.
“For decades we’ve seen businesses leave this country, and take American jobs with them. Since my first day in Congress I have called for a tax code that is flatter and fairer, that benefits both small businesses and the middle class. American families and individuals have felt the impact of an outdated and broken tax code directly in their wallets, and that is about to change for the better. We made it our goal this year to provide relief to American families, individuals, and businesses, and today we held true to that promise.
“Seven years in the making, we’ve waited for this moment to send common-sense, conservative legislation to a President that will do the right thing for the American people and sign it into law. President Trump has proven to be a true leader in the face of this daunting task. Many doubted that we could get tax reform passed, but in one year’s time we proved by taking on and successfully achieving one of the biggest legislative accomplishments, that we can work together and get the job done for the American people.”
The Tax Cuts and Jobs Act passed in the House by a vote of 227-203. This bill provides much needed reforms that will restore American competitiveness, better serve small businesses, and allow hardworking Americans to keep more of their money.
Some of the key provisions contained in the bill include:
Repealing the Obamacare individual mandate tax penalties
Significantly increasing the standard deduction to double the amount of what is earned each year from taxes – from $6,500 and $13,000 under current law to $12,000 and $24,000 for individuals and married couples
Expanding the Child Tax Credit from $1,000 to $2,000 for single filers and married couples to help parents with the cost of raising children
Maintaining the $2,500 deduction for interest paid on student loans, as well as the lifetime learning credit for up to $2,000
Providing immediate relief from the Death Tax by doubling the amount of the current exemption to help diminish uncertainty and curb costs for families
Lowering tax rates for small business owners by allowing them to write off the full cost of modern equipment that will help them maintain cutting edge operations and enhance employee skillsets, further promoting job growth and productivity.
Decreasing the corporate rate from 35% to 21% starting January 1st
Offering a first-ever 20% tax deduction that applies to the first $315,000 of joint income earned by businesses organized as S corporations, partnerships, LLCs, and sole proprietorships