Representative Joe Wilson

Representing the 2nd District of South Carolina

ICYMI: House Passes Tax Reform 2.0

Sep 28, 2018
Press Release

ICYMI: House Passes Tax Reform 2.0

Washington, D.C. – This week House Republicans passed three pieces of legislation, which makes tax cuts for individuals permanent, and helps small businesses provide retirement plans for employees and families start saving earlier.

“Due to the tax cuts of President Donald Trump and the Republican Congress, there has been unprecedented job growth for American families,” said Congressman Joe Wilson (SC-02). “Tax Reform 2.0 will provide increased certainty for our families, workers, and small businesses while unleashing even more economic growth and creating jobs for American families.”

You can find more information below: 

H.R. 6757 - Family Savings Act: This legislation encourages retirement and family savings. This measure removes the age limit on individual retirement account contributions and exempts people with less than $50,000 in their retirement accounts from taking required minimum distributions, which starts when you turn 70½. In addition, it allows families to withdraw up to $7,500, penalty-free, from retirement accounts for costs related to a new child, whether by birth or adoption. This legislation also expands 529 education plans to allow these resources to be used for apprenticeship programs, education loan repayment, and homeschooling expenses. A provision in this legislation would allow families to contribute $2,500 per year to a Universal Savings Account and allow those funds to be withdrawn without a tax penalty. The Universal Savings Accounts are more streamlined and flexible, which would encourage savings. 

H.R. 6756 - American Innovation Act: This legislation lets new businesses deduct up to $20,000 in start-up expenses, which will promote innovation, entrepreneurship, and job creation. Currently, taxpayers are only able to deduct up to $5,000. The American Innovation Act also allows new companies, which experience a change in ownership, to claim certain tax breaks that were previously limited.

H.R. 6760 - Protecting Family and Small Business Tax Cuts Act: This legislation makes the individual tax cuts, which took effect this year, permanent and locks in other positive changes from the Tax Cuts and Jobs Act passed last year. This legislation ensures that the doubled standard deduction and elimination of personal exemptions would become permanent, along with the increased child tax credit which helps families.