The Tax Cuts and Jobs Act will create millions of American jobs and higher wages AND simplify and lower taxes on Americans at every income level
ATR Urges a YES vote.
Later this week, members of the House and Senate will vote on the conference report to H.R. 1, the Tax Cuts and Jobs Act. ATR urges a YES vote on this pro-growth, pro-family legislation.
This legislation offers tax reduction and simplification for families, individuals, small businesses, and corporations. Over the next decade, the Tax Cuts and Jobs Act reduces taxes by $5.5 trillion and eliminates $4 trillion worth of distortionary credits and deductions.
H.R. 1 simplifies the tax code so most Americans can file on a postcard and offers tax relief for Americans at every income level. Under this plan, a family of four with the nationwide median income of $73,000 will receive a tax cut of $2,059.
The Tax Cuts and Jobs Act will also grow the economy leading to increased take-home pay and the creation of new or better jobs for families across the country.
In addition, the Tax Cuts and Jobs Act ends the Obamacare mandate tax paid by millions of Americans -- 80% of whom earn less than $50,000 – and allows responsible production of oil in Alaska.
By voting YES on the Tax Cuts and Jobs Act, members of the House and Senate have a rare opportunity to reform the broken tax code and offer relief to families and businesses across the country. All Senators and Congressmen should vote for H.R. 1.
Key highlights of H.R. 1:
-Reduces almost every individual income tax bracket.
-Current law: 10%, 15%, 25%, 28%, 33%, 35%, 39.6%
-Tax Cuts and Jobs Act: 10%, 12%, 22%, 24%, 32%, 35%, 37%
-Doubles the standard deduction to $12,000 for an individual and $24,000 for a family.
-Doubles the death tax exemption to $11 million ($22 million for couple).
-Increases the child tax credit to $2,000 per child.
-Eliminates the Obamacare individual mandate tax penalty.
-Increases the threshold for the Alternative Minimum Tax.
-Limits the state and local tax deduction to $10,000 and the mortgage interest deduction to $750,000.
-Expands 529 education savings accounts for elementary, secondary and higher education.
-Reduces taxes on pass-through businesses (Sole proprietorships, partnerships, LLCs, S corporations) through a 20 percent deduction on business income subject to certain limitations.
-Reduces the corporate income tax to 21 percent effective immediately.
-Implements 100 percent full business expensing for five years and expands Sec. 179 small business expensing.
-Eliminates the Corporate AMT.
-Limits deductibility of net interest expense to 30 percent of EBITDA (earnings before interest, tax, depreciation, and amortization) until 2022 when it is calculated as 30 percent of EBIT (earnings before interest and tax).
-Implements a territorial system of taxation with a 100 percent dividend exemption system. Imposes a deemed repatriation rate of 15.5 percent for cash/cash equivalents and 8 percent for non-cash/illiquid assets.