This morning Heritage Foundation tax expert Adam Michel released the following statement after the release of the House GOP tax plan, the Tax Cuts and Jobs Act.
“The details of the Tax Cuts and Jobs Act released today by the House Ways and Means Committee include some of the essential components of pro-growth tax reform. As it currently stands, the plan would significantly lower business tax rates and provide temporary expensing for new capital investments. These components would be a boost for working Americans who will see increased wages and greater job opportunities. The plan also takes huge strides in simplifying the tax code by lowering tax rates for a majority of Americans, reducing the use of itemized deductions, and significantly scaling back the state and local tax deduction which vastly benefits the wealthiest Americans.
Future changes and amendments to this tax legislation have the opportunity to further increase the pro-growth potential of tax reform. Congress should turn its focus to expanding and making expensing permanent, fully eliminating the property tax deduction, eliminating the additional fourth tax bracket, and limiting the scope of the new international minimum tax. Pro-growth tax reform is critical to unleash the U.S. economy and strengthen workers’ wages and job opportunities. While the Ways and Means proposal is a big step in the right direction, Congress has the chance to improve the tax plan to further enhance the proposed reforms’ benefits for all Americans.”
Heritage experts will be contributing to a running commentary throughout the day as they comb through all of the details of the plan, you can follow along HERE.