Rep. Huffman Slams Passage of H.R. 1%, House Republican Tax Scam
Washington, D.C.- Congressman Jared Huffman (D-CA) today voted against the House Republican tax scam, which would harm families across the North Coast, drive up the deficit, lavish a huge tax windfall on the wealthiest Americans, and threaten the economic health of our country. The Republican tax scam, H.R. 1 passed the House on a party-line vote, 227-205.
“The Republican tax plan that passed the House today places a target on California families, in order to hand deficit-exploding giveaways to an elite few that are already fabulously wealthy,’ said Rep. Huffman. “While we do need to improve the tax code to provide middle class tax relief, eliminate incentives to ship jobs overseas, and level the playing field between small businesses and huge multinational corporations that have been gaming the system for too long, this Republican scheme is not the answer. I hope that this Republican plan fails in the Senate so that we can finally work together on an effort to reform taxes that benefits California, working families, and the nation as a whole.”
Under the House Republican bill, more than two million California households that make less than $109,160 will be facing an average tax increase of $1,240 under this bill. And another 1.5 million California households with an income between $109,160 and $186,900 will be hit with an average hike of $2,780. By 2027, according to a nonpartisan analysis, Californians face a net tax increase of $12.1 billion.
Specifically, H.R. 1:
- Repeals disaster relief tax provisions for California fire survivors, who are already struggling in the wake of the worst wildfire disaster in American history;
- Places unique costs on Californians by limiting the federal income tax deduction for state and local taxes, imposing an unfair double tax on these families;
- Sets a new cap on the mortgage interest deduction that will drive down home values;
- Incentivizes corporations to send American jobs overseas and get vast, permanent tax breaks;
- Raises taxes on 36 million middle class households;
- Hands the wealthiest 1 percent nearly 50 percent of the tax cuts;
- Cuts $1.5 trillion from Medicare & Medicaid;
- Destroys a key deduction claimed by nearly 9 million American households, which helps families with children with disabilities, long-term care needs, a need for expensive fertility treatments, and many others;
- Repeals the Orphan Drug Credit, which enables biotechnology companies, like those in CA-02, who focus on ultra-rare diseases to continue developing treatments that otherwise would not be attempted without this credit; and
- Makes college less affordable for low and middle income Americans by eliminating key deductions for student loan interest.