Tax Cuts and Jobs Act

Floor Speech

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Ms. FOXX. Mr. Speaker, today I rise to dispute the absurdity that the Tax Cuts and Jobs Act benefits only the wealthy, leaving nothing but crumbs for the rest.

As someone who started contributing to my family's household income at age 12, I am all too familiar with the many struggles of our country's working and middle classes. Despite their steady perseverance in the face of politicians whose fiscal philosophy was ``government knows best,'' the working poor and middle class have been chewed up by the system that same philosophy promulgated.

Republicans' Tax Cuts and Jobs Act delivers a modern Tax Code that is fiscally responsible, levels the playing field, and supports working- class Americans. Republicans understand that progrowth tax reform means simpler and fairer taxes that provide much-needed relief to the middle class and our small businesses. It also means security for American jobs, more take-home pay for the workforce, and a level playing field for Americans' farms and businesses.

By doubling the standard deduction, the Tax Cuts and Jobs Act will move more low-income Americans into the zero tax bracket. For married couples filing jointly, this translates to $24,000 yearly that is free--free--from Federal taxes. This also means that working-class Americans will be able to take home more of their hard-earned paychecks.

Currently, over 70 percent of the people in the United States already take the standard deduction. By doubling the standard deduction, even more Americans will be spared from itemizing, and the process will be so simple that they can file on a postcard. For those few Americans who do elect to itemize, the Tax Cuts and Jobs Act preserves the child and dependent care tax credit, the adoption tax credit, the deduction for charitable contributions, the home mortgage interest deduction for existing mortgages, and the deduction for newly purchased homes for interest on up to $750,000 of mortgage principal.

It also continues to allow for writeoff of State and local property taxes up to $10,000. Finally, it expands the medical expense deduction in 2018 for medical expenses exceeding 7.5 percent of adjusted gross income and rises to 10 percent beginning in 2019.

Last, by lowering the crippling taxes on businesses, the Tax Cuts and Jobs Act translates to an increase in employment and workers' wages. We are seeing the lowest unemployment rate since 2000, and 4 million workers and counting have seen the benefits of these historic tax cuts in their income. Businesses across the country are giving bonuses, pay raises, and new investments. Bonuses alone amount to over $4 billion across businesses countrywide.

The evidence that tax cuts provide substantial relief for the working and middle classes is clear. The Democrats' approach was to defend a Tax Code riddled with high taxes and loopholes, but I am proud that Republicans delivered on our promise to bring relief to American workers and happy to say that we are only beginning to see the benefits of this historic tax cut for America's businesses, workers, families, and job creators.

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