How Would The U.S. House’s Tax Reform Affect Jobs And Incomes In Your State? (Read On To Find Out.)
As readers of Connecting the Dots are aware, the U.S. House Ways and Means Committee has put forth a comprehensive federal tax reform plan, called the “Blueprint,” that would reduce both corporate and individual income tax rates. So far, this is the only federal tax reform plan on the table—the U.S. Senate and the Trump administration have not yet released their preferred outlines (though each is expected to do so in the coming months.)
Last week the nonprofit, nonpartisan Tax Foundation released a study that assesses how the House’s outline will affect taxpayers in individual states. The foundation found that the House’s “plan would significantly reduce the cost of capital and reduce the marginal tax rate on labor” and “would greatly increase the U.S. economy’s size in the long run, boost wages, and result in more full-time equivalent jobs.” Specifically, the Tax Foundation believes the House reform plan would create roughly 1.7 million new full-time equivalent jobs and increase the after-tax incomes of median households by 8.7 percent.
Interested in how the House’s plan would affect jobs and incomes your state? Click here.