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1 Million Jobs Could Be Lost if Congress Doesn’t Restore Pro-Growth Trump Tax Cuts

February 02, 2024

Chairman Smith: “Our tax relief package will help make the difference for millions of small businesses trying to make payroll, while they build things here in America.”

WASHINGTON, D.C. – Ways and Means Committee Chairman Jason Smith (MO-08) issued the following statement after the Bureau of Labor Statistics released the January 2024 jobs report:

“The Tax Relief for American Families and Workers Act is a pro-growth, pro-worker, pro-American package of proven tax policies that will preserve and create more good-paying jobs and higher wages. If Congress fails to restore these tax incentives that were first signed into law by President Trump, one million American jobs could be lost. The last thing families need after three years of high prices and high interest rates is a pink slip. Our tax relief package will help make the difference for millions of small businesses trying to make payroll, while they build things here in America. The House has done its job to protect workers. The Senate should pass this bill and get it to the President’s desk as soon as possible.”

Continuing 2017 Trump Tax Reform’s Record of Success

The Tax Relief for American Families and Workers Act locks in $600 billion of tax incentives from the 2017 Trump tax reforms with a record of creating jobs, raising wages, and investing in America:

  • Research and Development (R&D) investment incentives will…
    • Create over $70 billion in new R&D investment in the United States.
    • Support 2 million direct R&D jobs and over 21 million total jobs – particularly in U.S. manufacturing.
  • Interest Deductibility will…
    • Create 867,000 new jobs.
    • Generate $58 billion in additional take-home pay for American workers.
  • 100% Immediate Expensing will…
    • Increase investment by $400 billion.
    • Create 73,000 new jobs.

Key Background:

  • Prices have increased 17.3 percent since President Biden took office.
  • Due to inflation and slow wage growth, real wages have fallen 4.3 percent since President Biden took office.
  • Inflation outpaced wages for 26 straight months of Biden’s presidency.
  • The Federal Reserve has raised rates 11 times to combat the spike in prices.
  • Mortgage rates reached a 23-year high of 7.8 percent in October 2023. The average monthly mortgage payment has increased by $983 and is 87 percent higher than when President Biden took office in January 2021.
  • Credit card interest rates are at the highest level in nearly three decades, while consumer credit debt has reached an all-time high of just over $1 trillion and the number of Americans struggling to pay credit card bills has increased sharply.