Shimkus on Tax Reform: "Today is a big day"
Congressman John Shimkus (R, Illinois-15) praised the introduction of H.R. 1, the Tax Cuts and Jobs Act, which will bring much needed reforms to the tax code for the first time in more than 30 years.
"Today is a big day," Shimkus said. "My friend, Chairman Kevin Brady (R, Texas-8), and his Ways and Means Committee have put together a simpler, fairer, flatter tax code that will put more money in my constituents' pockets and support a growing, thriving economy for all Americans."
The Tax Cuts and Jobs Act maintains the 39.6 percent top rate for high-income Americans, but lowers rates and simplifies tax brackets for low- and middle-income families. By nearly doubling the standard deduction, from $6,350 to $12,000 for individuals and $12,700 to $24,000 for married couples, the bill will shield twice as much of an individual or family's annual earnings from federal taxes.
"Almost 80 percent of my district takes the standard deduction," Shimkus said. "Under this new plan, that number will only go up. This means that my constituents will keep more of their hard-earned paychecks, and will be able to easily file their taxes themselves, instead of having to hire a tax professional."
In addition, for thousands of Illinois farmers and small businesses, the Tax Cuts and Jobs Act provides relief from the "Death Tax" by immediately doubling the current exemption, and ultimately repealing this misguided penalty within six years. The bill allows businesses to immediately write off the full cost of new equipment, and protects the ability of small businesses to write off the interest on loans.
Lastly, corporate taxes under the bill would fall from 35 percent (the highest rate in the industrialized world) to 20 percent, and special-interest loopholes and incentives that reward companies for sending jobs overseas are eliminated.
The Ways and Means Committee has scheduled a markup of the bill for November 6, 2017.