Tax Reform Plan Essay

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WASHINGTON — Republican members of the U.S. House of Representatives unveiled its tax overhaul plan Thursday, which includes decreasing the number of personal income tax brackets, cutting the corporate tax rate and the eventual elimination of the estate tax.

But opponents of the plan said working families would not benefit from the legislation, which would also add to the country's deficit.

The Tax Cuts and Jobs Act includes four individual tax brackets with rates 12 percent, 25 percent, 35 percent and 39.6 percent, which the highest tax bracket remaining the same from the current system.

The standard deductible would nearly double for both individuals and couples, though deductions on medical expenses and student loan interest would …show more content…

"West Virginia taxpayers deserve a tax cut so that they can keep more of their hard-earned money," he said. "The plan released today will lower rates on taxpayers, including small businesses which are the back bone of West Virginia’s economy."

Rep. Evan Jenkins, R-W.Va., said the plan will allow West Virginia businesses to grow and its employees to also benefit.

"Many West Virginians are struggling after our state’s economic downturn, and they deserve to keep more of what they earn," he said.

The Joint Committee on Taxation reported under the bill, the federal deficit would increase by more than $1.48 trillion dollars over the next 10 years.

"As soon as the ink is dry, you're going to get calls to let's cut Medicare, let's cut Medicaid, let's cut education spending," said Chuck Marr, director of federal tax policy at the left-leaning Center on Budget and Policy Priorities.

The possible rise of the deficit is one issue Sen. Joe Manchin, D-W.Va., has with the bill, noting how the bill also put "investors over workers."

"None-the-less, I believe tax reform is something we must do, so in the coming days, I will do what West Virginians do best," he said, "bring people together and find common ground so that we can get something done."

Marr said while the tax rate for high-income earners will remain at 39.6 percent, they will ultimately benefit from the bill because of the changes regarding the excise tax, corporate tax rate

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