Today, the U.S. House of Representatives passed H.R. 1, the "Tax Cuts and Jobs Act," to significantly reform the U.S. tax code for the first time in 31 years -- when Ronald Reagan was President. Seventh District Rep. Rob Woodall voted in favor of the measure, and issued the following statement supporting its passage.
"Our tax code has a very real impact on the American people and our economy -- and sadly, for too long, that impact has been marked by oppressive and complex policies that burden hard-working Americans and stifle economic growth," said Woodall. "That's why since coming to Congress I have worked to deliver fundamental tax reform in the form of the FairTax. To me, the best answer is still the FairTax (H.R. 25), and I believe the partnership I've had with fellow supporters all across the country has led to its principles of simplicity, fairness, and transparency being incorporated into the bill passed today. The "Tax Cuts and Jobs Act' is a mechanism to move away from the failings of the past, and I believe it positions us to do even bigger things with tax policy moving forward."
While Woodall and others pushed for more reforms than are realized in H.R. 1, they agree that this is landmark legislation. H.R. 1 gives families and job-creators a simple and fair tax code that consolidates seven brackets into four, eliminates the punitive Alternative Minimum Tax (AMT) altogether, gets rid of multiple existing loopholes, and doubles the standard deduction, to name a few of the highpoints. The measure also seeks to spur economic and job growth by drastically reducing the rates at which small businesses and American-headquartered corporations are taxed.
"Empowering American workers and job-creators with a tax structure that allows them to effectively compete globally means more jobs and bigger paychecks here at home -- and it encourages foreign businesses to locate their next plant or factory on U.S. soil," Woodall added. "We have the best workforce and brightest minds in our communities, but for too long we've had the worst tax code. We are seeing that change today, and I'm proud of the work that got us to this point."
An analysis by the U.S. Chamber of Commerce anticipates that, if signed into law, H.R. 1 would create nearly 1 million new jobs and generate enough economic growth to increase federal receipts by $1 trillion. In Georgia, the number of jobs created is projected to be more than 29,000, with after-tax income rising by nearly $2,400 for Georgia's families. The Seventh District's robust small business community would also be able to look forward to new, lower rates allowing for further investment and growth.
To learn more about all of the reforms in H.R. 1, click here.