WASHINGTON, D.C. – House Ways and Means Chairman Kevin Brady (R-TX) delivered the following opening statement at the Full Committee markup for Tax Reform 2.0.
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Remarks as prepared for delivery:
“The Tax Cuts and Jobs Act changed the trajectory of our economy for the better. Since President Trump signed the new tax code into law we’ve seen an economic turn-around with more jobs, bigger paychecks, and historic Main Street optimism.
“This has meant real change for real people. With nearly 1.7 million new jobs created since January and wages rising at their fastest rate in nine years, so many Americans are hopeful again about their financial future.
“But we can’t just stop there – we must keep building off the momentum from last year’s tax reform to ensure our economy keeps booming. That’s why we’re here today to change the culture of Washington – from one that waits an entire generation to fix a broken tax code, to one that keeps our code ahead of the pack and the best in the world.
“This is after all how all successful businesses operate, with workers waking up each day and asking ‘how do we become more competitive, more innovative, and better?’ And the truth is it’s about time this was done in Washington – because the stakes couldn’t be higher. If we fail to keep our code competitive, we’ll fall behind our foreign competitors and American families will once again suffer the consequences of slow growth and outsourced jobs.
“That’s why this Committee is committed to ensuring our code continues to work for all Americans by being smarter for families and more competitive for businesses. The three bills that make up today’s tax reform update will do just that.
“Tax Reform 2.0 is our commitment to American workers that our code will remain the most competitive in the world. Never again will America fall so far behind.
“The first bill, the Protecting Family and Small Business Tax Cuts Act of 2018, will lock in the individual and small business tax cuts from the Tax Cuts and Jobs Act.
“This will give American families, workers, and Main Street small businesses certainty and will continue to fuel the strong economic growth we’ve witnessed over the past year. The Tax Foundation has estimated that making the middle-class and small business tax cuts permanent will create 1.5 million new jobs and increase GDP over 2%. That’s on top of the 1.7 million new jobs we’ve already seen created since the Tax Cuts and Jobs Act was signed into law by President Trump.
“The second part of Tax Reform 2.0, the Promoting Family Savings Act of 2018, which is sponsored by Congressman Mike Kelly, will help families save more and earlier throughout their lives by expanding access to new and existing savings vehicles. This will help families and individuals save for their future now that they are seeing their paychecks increase and are keeping more of their hard-earned money. In addition, the Promoting Family Savings Act will help local businesses provide retirement plans to their workers and will help workers participate in retirement plans.
“The last part of Tax Reform 2.0 is the American Innovation Act of 2018, which is sponsored by our Tax Policy Subcommittee Chairman Vern Buchanan. This bill will help hardworking Americans move a family business from their kitchen table to their first office by allowing them to write off more startup costs in their early years.
“So, while Tax Reform 1.0 was about changing the trajectory of the economy, Tax Reform 2.0 is about changing the culture in Washington and that starts with today’s important update to our code.
“We finally have one of the most competitive tax codes on the planet — today we’re going to take a bold step to keep it that way.”