Crapo Statement on JCT Analysis of Tax Title
Washington, D.C.--Senate Finance Committee Chairman Mike Crapo (R-Idaho) today released the Joint Committee on Taxation’s (JCT) revenue estimate of the Finance Committee’s tax title, which shows that under a current policy baseline, the legislation has a net revenue impact of $442 billion.
“Washington has a spending problem, not a tax problem. Extending the Trump tax cuts prevents a $4 trillion tax increase—this is not a change in current tax policy or tax revenue. This score more accurately reflects reality by measuring the effects of tax policy changes relative to the status quo.
“Republicans are poised to make the 2017 Trump tax cuts permanent, promoting more stability in the tax code and avoiding tax cliffs. That certainty and stability is what families and businesses need to make long-term investments that drive growth, accelerate productivity and increase prosperity across all segments of the economy.
“Not only does this bill make the Trump tax cuts permanent, but it provides additional tax relief to middle-class American families, communities and small businesses. Despite Democrats’ false rhetoric, Senate Republicans’ bill provides:
- More than $82 billion in inflation tax relief targeted at income brackets below the $200,000 threshold.
- A $165 billion benefit for the over-90 percent of low and middle-income taxpayers claiming the standard deduction.
- A $91 billion benefit to low and middle-income seniors.
- An additional $124 billion investment in children of low- and middle-income families, on top of the doubled child tax credit being made permanent.
- Additional relief for workers, including no tax on tips and no tax on overtime.
“The bill pays for these changes by eliminating hundreds of billions of dollars in Biden Green New Deal spending. And, the Council of Economic Advisers estimates that making the Trump tax cuts permanent—combined with other Trump Administration pro-growth policies—will increase federal revenues by more than $4 trillion, more than offsetting deficit estimates.
“Extending good tax policy, delivering targeted relief and reining in wasteful spending is the best way to restore economic prosperity and opportunity for all Americans.”
Click HERE for the JCT table.
Click HERE for a bill overview.
Click HERE to view text of the Finance reconciliation bill.
Click HERE for a section-by-section.
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