United States Capitol

Curent Events Taxes

Tax Reform Bill (KIM #14)

The White House and leaders in Congress are pitching that the tax package would provide relief for middle class taxpayers, but thousands who earn a middle class living from their work and rely on itemized deductions to make ends meet will be hurt.

Actors and Concert Artists regularly incur significant expenses such as transportation costs when they audition or work out of town. Artists routinely pay for advertising materials like photography and website hosting. There are many other costs connected with entertainment, for example, commissions to agents. Eliminating Miscellaneous Itemized Deductions could be devastating by lowering their incomes and raising their taxes.

Some of the changes are bait and switch, so raise the child income tax credit, then phase it out a decade later.

There is a new 25 percent tax rate for sole proprietorships, partnerships, and S corporations that currently pay taxes at the individual rate of their owners. These type of businesses represent about 95 percent of all businesses in the U.S. and produce most of the corporate tax revenue for
the U.S. government.

The tax reform bill would eliminate the federal Historic Tax Credit program (HTC). The program, which encourages the redevelopment of historic and abandoned buildings, has, according to analysis from the National Trust for Historic Preservation, been used to renovate more than 40,000 structures and channel $117 billion in private investment since being enacted by the Reagan administration in 1981.