On Wednesday, House and Senate Republicans fulfilled President Donald Trump’s campaign promise to pass a new tax reform bill.
Rep. Steve Knight, R-Palmdale, voted in favor of the Tax Cuts and Jobs Act and took to social media to tout its benefits.
“PROMISE DELIVERED: Congress has passed the most comprehensive tax reform legislation in over three decades,” Knight wrote. “Larger paychecks, more jobs and a new era of American economic resurgence is just a signature away from manifestation.”
The tax reform bill will now head to Trump’s desk for a signature before it can become law.
This tax code is simplified and will strengthen the economy, raise wages and make the economy more competitive, according to National Press Secretary Sarah Huckabee Sanders said in a Dec. 15 statement.
“The President applauds the House and Senate conferees on coming to an agreement on the Tax Cuts and Jobs Act, and looks forward to fulfilling the promise he made to the American people to give them a tax cut by the end of the year,” Sanders said in the statement.
The GOP’s tax overhaul reduces revenues by about $1.649 trillion and decreases outlays by about $194 billion between 2018 to 2027, according to the Congressional Budget Office. This will lead to an increase in the deficit by $1.455 trillion over the next 10 years, the CBO said.
“Among other changes,” the CBO cost estimate reads, “the bill would reduce most income tax rates for individuals and modify the tax brackets for those taxpayers; increase the standard deduction and the child tax credit; repeal deductions for personal exemptions; repeal or limit certain itemized deductions; and increase the exemption amounts for the individual alternative minimum tax.”