“Congress must extend the Trump Tax Cuts as soon as possible to provide relief and prevent the largest tax hike in American history.”

WASHINGTON, D.C. – House Ways and Means Committee Chairman Jason Smith (MO-08) released the following statement after the Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) report:

“Any lowering of inflation is welcome news for Americans who spent the last four years facing ever higher prices. This week, we learned that the price of eggs fell almost $2, helping ease the high costs parents pay to feed their families. The real value of family paychecks fell 3.2 percent during the Biden Administration and more work still needs to be done to help families climb out of the financial hole caused by Bidenflation. We know the recipe for prosperity, and it is President Trump’s America First economic agenda. The 2017 Trump Tax Cuts boosted paychecks and real incomes for middle-class families. Congress must extend the Trump Tax Cuts as soon as possible to provide relief and prevent the largest tax hike in American history. Working families and small businesses need the certainty their tax rates will not skyrocket in just a few months. The Ways and Means Committee is hard at work to turn President Trump’s mandate for a more prosperous America into concrete policies that help workers, families, farmers, and small businesses.”

Extending the Trump Tax Cuts
Long-term 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.