Bost Applauds House Passage of Tax Reform Legislation
Washington, DC – U.S. Representative Mike Bost (IL-12) today released the following statement after the House passed the final version of the Tax Cuts and Jobs Act, the biggest reform of America’s tax code in 31 years:
“There were two major things that I wanted to accomplish for Southern Illinois through tax reform: growing jobs and growing paychecks. This tax reform bill paves the way for both. We’ve reformed the tax code to let working families keep more of their paycheck to spend as they see fit. Whether that be saving for college, raising a family, or preparing for a rainy day, I trust the taxpayers to keep a closer eye on their hard-earned dollars than any Washington bureaucrat ever will. We’ve also taken steps to encourage businesses large and small to expand operations at home and invest in the American worker.”
For individuals and families, the Tax Cuts and Jobs Act:
- Lowers individual taxes and sets the rates so people can keep more of their hard-earned money.
- Doubles the standard deduction from $6,500 to $13,000 for individuals and $12,000 to $24,000 for married couples.
- Continues to allow people to write off the cost of state and local taxes – up to $10,000.
- Doubles the Child Tax Credit from $1,000 to $2,000.
- Provides support for graduate students by continuing to exempt the value of reduced tuition from taxes.
- Retains popular retirement savings options such as 401(k)s and Individual Retirement Accounts (IRAs).
- Preserves the mortgage interest deduction.
- Provides relief for Americans with expensive medical bills by expanding the medical expense deduction.
For job creators of all sizes, the Tax Cuts and Jobs Act:
- Lowers the corporate tax rate to 21%– down from 35%, which today is the highest in the industrialized world.
- Allows businesses to immediately write off the full cost of new equipment to improve operations and enhance the skills of their workers.
- Establishes strong safeguards to distinguish between individual wage income and “pass-through” business income so Main Street tax relief goes to the local job creators it was designed to help most.
- Prevents American jobs, headquarters, and research from moving overseas by eliminating incentives that now reward companies for shifting jobs, profits, and manufacturing plants abroad.
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