Upton Applauds Passage of Landmark Tax Reform Legislation
‘The current tax code is indefensible’
Washington, November 16, 2017 | Lynn Turner/Tom Wilbur (202-225-3761/269-385-0039)
U.S. Rep. Fred Upton, R-St. Joseph, today applauded the passage of landmark tax reform legislation, H.R. 1, the Tax Cuts & Jobs Act.
“This historic tax reform package will lower individual income tax rates except for the top bracket, simplify the entire code, create jobs, and boost our Southwest Michigan economy,” said Upton. “It will specifically help Michigan middle-class families by increasing the standard deduction and expanding the Child Tax Credit. The current tax code is indefensible. I haven’t met a single person or visited a single small business that thinks the status quo is acceptable. The time for tax reform and relief is now – and we are delivering on our promise. Bottom line: This tax plan will put more money in the pockets of Michigan families and I’m hopeful we can get something to the president’s desk before the end of the year.”
“I want to applaud Congressman Upton for helping get this important tax update through the House,” said Chris Heugal, president of the Cornerstone Chamber of Commerce in St. Joseph. “These actions will help improve our local small business community and overall economic environment.”
“The State of Michigan has made extraordinary strides to attract business,” added Rob Cleveland, president of Cornerstone Alliance, the economic development agency for St. Joseph. “Today’s passing of the corporate income tax reform legislation through the U.S. House of Representatives makes the country more competitive and will benefit Michigan as we continue to win more industry.”
“The greatest force for changing the lives of Americans is jobs,” concluded Ron Kitchens, chief executive officer of Southwest Michigan First, the economic development group in Kalamazoo. “This tax reform will create more and better jobs for Americans and reignite the American dream.”
According to a new report from the U.S. Chamber of Commerce, the Tax Cuts & Jobs Act will lead to the creation of an additional 29,168 jobs and raise after-tax incomes for Michigan middle-class families by more than $2,000. See more tax reform numbers here.
Among many important provisions, the Tax Cuts & Jobs Act:
· Lowers individual tax rates to Zero, 12%, 25%, and 35% and maintains the top rate of 39.6%.
· Roughly doubles the Standard Deduction – from $6,350 to $12,000 for individuals and $12,700 to $24,000 for married couples.
· Establishes a new Family Credit – which includes expanding the Child Tax Credit from $1,000 to $1,600 for each child.
· Preserves the Adoption Tax Credit and Child and Dependent Care Tax Credit.
· Preserves the deduction for charitable contributions and the home mortgage interest deduction and protects the first $10,000 in property tax deductions.
· Retains popular retirement savings options such as 401(k)s and Individual Retirement Accounts
· Lowers the corporate tax rate from 35% to 20%.
· Reduces the top tax rate on pass through business (small business) to no more than 25%.
· Repeals the Alternative Minimum Tax.
The Tax Cuts & Jobs Act is supported by groups such as Americans for Tax Reform, National Taxpayer Union, Citizens Against Government Waste, U.S. Chamber of Commerce, National Association of Manufacturers, Business Roundtable, National Retail Federation, American Trucking Association, Consumer Technology Association, American Farm Bureau Federation, Small Business and Entrepreneurship Council, and more.
Learn more about tax reform here.