WASHINGTON, D.C. – Congressman Bob Latta (R-Bowling Green) joined his colleagues in passing the Tax Cuts and Jobs Act, legislation 31 years in the making that would reform the nation’s broken tax code and provide needed tax relief for middle class families, grow the economy, and create jobs. The passage of the Conference Report to Accompany H.R. 1 – The Tax Cuts and Jobs Act, means it now moves to the U.S. Senate for approval.
“One of the top pledges of this Congress was to provide needed tax relief to middle-class families and the small businesses that drive our economy and create jobs,” said Latta. “The passage of the Tax Cuts and Jobs Act will mean a family of four in Ohio’s 5th Congressional District, making the median income, will keep $2,415 more of their hard-earned money. While the defenders of the status quo have used misdirection and misinformation to try to stop tax reform, our efforts to fix a broken tax code and provide needed tax relief won’t be derailed.
“At the same time, the legislation has provisions to grow our economy including a new deduction for our nation’s small businesses and farmers that are pass-through entities and ensuring that American businesses are on a level playing field with their foreign competitors. It’s taken 31 years since the last overhaul of the tax code, and the passage of this bill is a big win for the people of Ohio.”
Highlights of the Tax Cuts and Jobs Act:
- Provides a tax cut of $2,415 for a family of four making the median income in Ohio’s 5th Congressional District.
- Nearly doubles the standard deduction, allowing Americans to protect more of their income AND making it so 9 out of 10 taxpayers can file on a form the size of a postcard.
- Doubles the Child Tax Credit from $1,000 to $2,000, ensuring more tax relief will go to middle-class families.
- Protects graduate tuition waivers from taxation.
- Protects the deduction for student loan interest.
- Expands the deduction for qualified medical expenses.
- Establishes a new pass-through deduction to provide tax relief to small businesses, the engines of our economy.
- Eliminates the individual mandate which disproportionately punishes lower-income and middle-income taxpayers – 79% of taxpayers that are forced to pay this fine make less than $50,000.
- Doubles the exemption for the ‘death tax’ to provide more relief for family farms and small businesses.