Capitol Building Full View by Noclip is licensed under Public Domain.
On Tuesday June 13, the Republicans on the House Ways and Means Committee chaired by Congressman Jason Smith (R – Mo.) cast votes to advance three pivotal bills to provide tax cuts and tax simplification for households and small businesses: H.R. 3936 — Tax Cuts for Working Families Act; H.R. 3937 — The Small Business Jobs Act; and H.R. 3938 — The Build It in America Act.
ATR previously noted the list of tax cuts in the bills here. Below are highlights from the Committee markup:
Chairman Smith (R-Mo.) said:
“To help strengthen small businesses forced to navigate price spikes, worker shortages, and supply chain failures, the Ways and Means committee is putting forward the Small Business Jobs Act with solutions that cut IRS red tape, expand jobs and investment, and support rural communities. We’re reducing burdensome requirements for American workers and small businesses.”
Congresswoman Carol Miller (R-W.Va.) is the leader of the effort to repeal Democrat-enacted 1099-k paperwork nightmare. She spoke of her Saving Gig Economy Taxpayers Act (endorsed by ATR and noted during our annual Tax Day press conference here) which was included in the package of bills passed by the committee.
Miller said:
“My bill is a huge step in turning back the Democrats’ disastrous Americans Rescue Plan provision, which would send tens of millions of forms to taxpayers and small businesses in every congressional district”
Congressman David Kustoff (R-Tenn.) explained how the new reforms would increase the dollar threshold for IRS tax paperwork which hasn’t been adjusted in 70 years:
“One thing that the American Rescue Plan did was it took the 1099K reporting provisions and unfortunately anybody who received more than $600 over the course of the year essentially had the IRS spy on them because they are now required to report that on a 1099K. So one important provision in this bill restores the 1099K threshold of more than $20,000 in payments and more than 200 commercial transactions, and again that further provides relief to American workers and small businesses by increasing the threshold for subcontractors from $600 to $5,000.
Congressman Blake Moore (R-Utah) explained how the provision of an immediate deduction for business expenses allows businesses to invest more in expanding operations:
“We’ve heard from constituents, we’ve heard from business owners, small business owners in particular, on how section 179 has helped them and how its helped them grow their businesses, how its helped them secure employment for their employees and move things forward and become more and more competitive.”
Congresswoman Michelle Steel (R-Calif.) explained how the current provisions in place have given the IRS immense oversight over our finances to the point that it is intrusive in our daily activities:
“I thank the chairman for this important bill that will stop the IRS from snooping on tax returns, allow for more economic development, and enhance tools to help our small businesses thrive. Democrats inserted the provision in the American Rescue Plan requiring third-party payment platforms to report to the IRS when a company or individual brings in revenues exceeding $600. The IRS cannot be empowered to snoop on the private finances of Americans who use the third party payment platform on anything from the transfer of concert tickets, to paying rent, setting up an online wedding registry fund, or even selling a couch to a neighbor or used textbooks to a fellow student.”