By Brendan Scanland
WASHINGTON, D.C. — It will be a pivotal year for tax policy as a 2017 Trump tax law is set to expire at the end of 2025.
Republicans on the House Ways and Means Subcommittee on Tax are working to extend and improve upon Trump-era tax policies from the 2017 Tax Cuts and Jobs act (TCJA).
Opponents to the law say it favored the rich and failed to deliver on its promise.
House Ways and Means Subcommittee on Tax Chairman, Rep. Mike Kelly (R- PA), disagrees. He says the TCJA brought businesses back to the U.S. with friendly tax policy, leading to increased revenue and a stronger economy.
“We’re going to try to preserve as much of that as we can and make permanent, because of the ways of the scoring, it couldn’t be a ten-year program. It had to be a seven-year program, and that’s where we are right now. We’re coming to the sunset of that program,” said Kelly. “The question is, do you look at something that was so good and decide, no, or do you say, ‘okay, fine, it was really good. Let’s make it even better.’ Let’s make sure that we give the American people the advantages they need to have in a global economy right now that they can not only survive, but thrive. And that’s what we’re working on,” he added.
In 2017, a Republican-controlled Congress passed the TCJA. It was the largest tax code overhaul in nearly three decades. The law cut the corporate tax rate to 21%, doubled standard deductions, expanded the child tax credit and capped deductions for state and local taxes at $10,000.
