Today, Republicans in the House of Representatives released legislation to overhaul America’s tax code for the first time in over thirty years.
WASHINGTON – Today, Republicans in the House of Representatives released legislation to overhaul America’s tax code for the first time in over thirty years.
H.R. 1, the Tax Cuts and Jobs Act
, will create a more fair and less complex tax code for individuals, families, and job creators, delivering real tax relief to Americans across the country, especially those in California’s Central Valley.
Key Provisions for Individuals and Families:
U.S. Congressman David G. Valadao (CA-21) stated, “Despite recent national economic growth, Central Valley families are still struggling. Unemployment levels are nearly double the national average, 27.2 percent of my constituents live under the poverty level, and too many families live paycheck to paycheck.” He continued, “This tax plan will create more jobs, increase the amount of money workers take home, and strengthen our economy.”
Key Provisions for Job Creators:
- Creates a simpler, more fair tax code with five tax brackets
- Zero, 12%, 25%, 35%, and 39.6%
- Eliminates special interest deductions that increase rates and complicate Americans’ taxes – so an individual or family can file their taxes on a form as simple as a postcard
- Doubles the standard deduction so that Americans can keep more of their paycheck
- Expands the Child Tax Credit from $1,000 to $1,600 to help parents with the cost of raising children
- Preserves the Earned Income Tax Credit to provide important tax relief for low-income Americans working to build better lives for themselves
- Allows Californians to write off the cost of state and local property taxes up to $10,000
- Preserves the home mortgage interest deduction to help middle-class Americans achieve the American dream of homeownership
- Provides immediate relief from the Death Tax by doubling the exemption and repealing the Death Tax after six years so that family owned farms and businesses can remain in the family
- Lowers the corporate tax rate to 20%
- Establishes strong safeguards against “pass-through” businesses to guarantee local job creators receive tax relief
- Allows businesses to immediately write off the cost of new equipment
- Retains the low-income housing tax credit to encourage businesses to invest in affordable housing
- Prevents American jobs, headquarters, and research from moving overseas by eliminating incentives that now reward companies for shifting jobs, profits, and manufacturing plants abroad
The full text of H.R. 1, the Tax Cuts and Jobs Act
can be found here
and additional resources can be found here
Congressman David G. Valadao represents the 21st Congressional District, which includes Kings County and portions of Fresno, Tulare, and Kern Counties.