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Brady says tax reform will strengthen sluggish economy

The Navasota Examiner

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Washington, December 27, 2017 | comments

By Nicole Shupe Examiner editor

When businesses open after Jan. 1, there will be changes to the overall tax system, courtesy of the Tax Cuts and Jobs Act signed into law by President Donald Trump on Friday morning.

“Ultimately, it means jobs — jobs, jobs, jobs,” said President Donald Trump in a press conference Dec. 20.

Amid national controversy on the viability of the economic expansion that the reform will provide, legislatures in both the House and Senate met the deadline set earlier this year when a bipartisan coalition was developed.  According to U.S. Congressman Kevin Brady, the joint effort and goal was to have “historical and sweeping tax reform on President Trump’s desk by Christmas.”

According to proponents of the bill, the first major tax reform in more than 30 years will “create jobs, make bigger paychecks and result in fairer taxes.”

“I believe, because our economy has been going through the worst recovery in half a century, and until just this year under President Trump has the economy started to recover,” said Brady. “If we didn’t do tax reform and our economy continues to slump along for another decade, the way every economist has predicted it will without tax reform, I think our debt will grow as a country and I think it will be tougher to see revenue for important programs.”

Opponents have claimed that the bill will give wide-sweeping tax cuts to the rich, while providing little relief for the majority of Americans and will result in funding shortages for a variety of programs.

“The answer is none, not one, zero,” said Brady. “In fact, there are no cuts to spending programs to fund this tax reform, that is one of the fake news items that you here from opponents of tax reform.”

During a press conference with local media outlets Dec. 19, Brady said that those who opposed the bill “want as much of your money sent to Washington as they can take from you, and they fight desperately when we, Republicans, insist that you be able to keep more of what you earn.”

As the baby boomer generation continues to enter the retirement phase of life, many widespread concerns have been raised about the tax reform in relation to those who are on, or nearing a fixed income.

“Social Security and Medicare are two of our most important programs, they must be saved and the funding from those programs come from payroll taxes, so it depends on how many people are working and how good paychecks they have,” said Brady. “This tax reform strengthens Social Security and Medicare, by getting more people back to work and growing their paychecks.”

According to Brady, this tax reform is “really important” for those nearing retirement age without minor children at home because of the standard deduction being doubled.

“Instead of the $12,000 of their earnings being protected from taxation, we doubled that, so that the family starts out with $24,000 of their earnings protected from taxation,” said Brady. “Then they see a much lower tax rate for each dollar above that. They also keep their medical expense deduction and we retained the tax cut for the elderly, blind and disabled and obviously, if they have medical challenges that is important for them.”

During the tax reform process, Brady, who spearheaded the tax reform efforts in the House, has continued to say that “only by growing the economy can we grow revenues for the federal government.”

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