December 15, 2017
The final version of the tax reform bill is released by the conference committee working to combine the House and Senate bills.
Included in the legislation on Friday afternoon are seven income brackets that reduce the rate for top income earners from more than 39% to 37%. Business owners are expected to benefit with a drop in the corporate tax rate from the current 35% to 21%, which would begin in 2018.
The release of the final text comes as Senate Republicans appear to have support to pass it. Sen. Bob Corker, R-Tenn., released a statement on Friday that the legislation represents a “once-in-a-generation opportunity” to make businesses more productive and competitive.
For taxpayers, the standard deduction is doubled and allows individuals to write off state and local taxes. State, local, and property taxes of up to $10,000 can be deducted. Plus, the child tax credit is doubled after Sen. Marco Rubio, R-Fla., who wanted the provision, threatened to vote against the bill on Thursday.
The bill will cut the Obama-era individual health care mandate in 2019.
A vote in both the House and Senate is scheduled for next week. If it passes, it will head to President Trump’s desk before Christmas.