Congressman John Shimkus is praising the proposed Tax Cuts and Jobs Act saying it is simpler, fairer and a flatter tax code that will put more money into his constituents’ pockets.
The Tax Cuts and Jobs Act maintains the 39.6 percent top tax rate for high-income Americans, but lowers rates and simplifies tax brackets for low and middle-income families. By nearly doubling the standard deduction – from $6,350 to $12-thousand dollars for individuals and $12,700 to $24-thousand dollars for married couples, the bill will shield twice as much of an individual or family’s annual earnings from federal taxes, said a statement from Shimkus.
‘’Almost 80-percent of my district takes the standard deduction,’’ added Shimkus (shown in photo). ‘’Under this new plan, the number will only go up,’’ he added. ‘’This means that my constituents will keep more of their hard-earned paychecks, and will be able to easily file their taxes themselves, instead of having to hire a tax professional.’’
‘’In addition, for thousands of Illinois farmers and small businesses, the Tax Cuts and Jobs Act provides relief from the ‘Death Tax’ by immediately doubling the current exemption…and ultimately repealing this misguided penalty within 6 years.” The bill allows businesses to immediately write-off the full cost of new equipment, and protects the ability of small businesses to write off the interest on loans.
The corporate tax rate under the proposal would fall from 35-percent to 20-percent. It is all merely a proposal for now but both Congressmen Shimkus and Rodney Davis are hopeful it will advance. Davis says under the plan, 95-percent of his constituents would be able to file their federal taxes on a postcard. And he noted the minority of property owners who still want to itemize their deductions could do so.
