“Congress must work quickly to provide Main Street job creators with the confidence they need to borrow capital, invest in their communities, and hire American workers.”

WASHINGTON, D.C. – Ways and Means Committee Chairman Jason Smith (MO-08) issued the following statement after the Federal Open Market Committee announced its decision to hold its benchmark rate flat: 

“President Trump’s policies are the right ones to grow paychecks and lower prices for families – and that includes extending the Trump tax cuts. That’s why Congress needs to quickly pass, in President Trump’s words, one, big beautiful bill to grow the economy and lower prices and interest rates for hard-working families. In order to invest, expand, and grow, small businesses need certainty that their tax rate will not be 43 percent in just a few months. Congress must work quickly to provide Main Street job creators with the confidence they need to borrow capital, invest in their communities, and hire American workers. Extending and building on the Trump tax cuts will bring America into a new golden era – sparking $284 billion in manufacturing growth, more than 1 million new jobs from small businesses every year, $150 billion in growth from a small business boom, and $50 billion in new investment and new life in America’s poorest neighborhoods.” 

Extending the Trump Tax Cuts

Permanent extension of the 2017 Trump tax cuts will fuel significant economic growth and prosperity. 

• 1 million new jobs created by small businesses if the 20 percent small business deduction is made permanent. 
• $150 billion in economic growth from permanent extension of the 20 percent small business deduction. 
• $284 billion of new economic growth from American manufacturers. 
• $50 billion in new investment in Opportunity Zones, which represent the poorest neighborhoods and communities in the country. 

Key Policies from the Trump Tax Cuts Set to Expire if Congress Fails to Act:

• 6 million jobs will be lost if the tax cuts are not extended.
• The average taxpayer would see a 22 percent tax hike if the Trump tax cuts expire.
• A family of four making $80,610, the median income in the United States, would see a $1,695 tax increase if the Trump tax cuts expire.
  • This is worth about 9 weeks of groceries to a typical family of four across the country.
• 40 million families would see their household’s Child Tax Credit cut in half.
• 91 percent of all taxpayers would see their guaranteed deduction slashed in half. 
• 26 million small businesses would be hit with a 43.4 percent top tax rate if the Section 199A Small Business Deduction expires.
• 7 million taxpayers would be impacted by the return of the Alternative Minimum Tax.
• 2 million family-owned farms would have their Death Tax Exemption slashed in half next year.