The U.S. House of Representatives on Sept. 27 approved the Tax Reform 2.0 legislative package of bills, which includes a proposal sponsored by U.S. Rep. Mike Kelly (R-PA) to encourage Americans to save money for both their retirements and families.
“I am thrilled to see the People’s House pass all three pillars of Tax Reform 2.0 with bipartisan support,” Rep. Kelly, a member of the U.S. House Ways and Means Committee, said following the chamber’s approval last week of each bill.
“After the undeniable success of the Tax Cuts and Jobs Act for every American, passing a sequel to make its best parts permanent is just plain common sense,” he said, referring to plans that Tax Reform 2.0 would build on the growing economic successes of the Tax Cuts and Jobs Act via three bills that would make permanent the law’s individual and small business tax cuts, ease processes for families and businesses to save for retirement, and spur innovation by growing startup businesses.
Among the House-approved bills are Rep. Kelly’s Family Savings Act of 2018, H.R. 6757, which he introduced on Sept. 10 with support by House Ways and Means Committee Chairman Kevin Brady (R-TX) and the other 23 Republican members serving on the committee, including U.S. Reps. Peter Roskam (R-IL), Vern Buchanan (R-FL), Lynn Jenkins (R-KS), Erik Paulsen (R-MN), Diane Black (R-TN), Tom Reed (R-NY), James Renacci (R-OH), Kristi Noem (R-SD), Tom Rice (R-SC), Jackie Walorski (R-IN), Carlos Curbelo (R-FL), Mike Bishop (R-MI), Darin LaHood (R-IL), and Brad Wenstrup (R-OH). The lawmakers are all original cosponsors of H.R. 6757.
H.R. 6757 passed the House last week, 240-177.
Rep. Kelly is also an original cosponsor of the other two House-passed bills in the tax package, the American Innovation Act of 2018, H.R. 6756, sponsored by Rep. Buchanan, and the Protecting Family and Small Business Tax Cuts Act of 2018, H.R. 6760, sponsored by U.S. Rep. Rodney Davis (R-IL).
H.R. 6756 was approved by the House, 260-156, while H.R. 6760 received House approval, 220-191.
“When my colleagues and I crafted and enacted tax reform last year, our goal was clear: lower taxes for middle-income families and workers, more jobs, and a stronger economy,” said Rep. Kelly. “With millions of households now enjoying more take-home pay and a skyrocketing economy producing more job openings than ever before, our goal wasn’t just met — it was surpassed.”
Moving forward, the Tax Reform 2.0 package, he said, would ensure Americans could keep more of their hard-earned money and be able to choose among options to save their money.
“Real financial security is measured not by how much one makes but how much one saves, and currently, we’re a nation of spenders and not savers,” the congressman said, citing a January financial security index survey by Bankrate that found 34 percent of American households experienced a major unexpected expense during the past year. However, just 39 percent of survey respondents said they would be able to cover a $1,000 setback using their savings, according to Bankrate’s survey.
Rep. Kelly noted from the House floor that his bill “contains numerous provisions to change that trend and help Americans better prepare for retirement and whatever life may throw their way.”
The U.S. Senate on Sept. 28 received all three bills in the Tax Reform 2.0 package and have referred them to the U.S. Senate Finance Committee for consideration.