Later today, Rep. Seth Grove and the York County House Delegation will host a legislative forum on the effects of the Tax Cuts and Jobs Act passed late last year.
My colleague Nate Benefield will be testifying at the forum, which you can view live here. In his written testimony, Nate discusses the fruits of tax reform, including the broad-based relief enjoyed by the vast majority of taxpayers. He also focuses on the specific benefits to Pennsylvanians and the need for further reforms at the state level.
In our recently updated analysis of the new law, we detail many of the countless benefits for working people across Pennsylvania and the nation— benefits that are difficult to dismiss. These include five major positive outcomes:
- tax savings for people of all income levels,
- higher employee benefits,
- lower utility bills,
- an increase in charitable contributions,
- and more jobs.
Americans for Tax Reform outlines hundreds of these examples, clearly demonstrating the progress made thus far.
Additionally, several organizations have calculated the gains Pennsylvanians can expect from tax reform. Here’s a quick overview of these analyses:
Tax Foundation: The average tax cut for Pennsylvanians making between $50k and $75k ranges from $1,300 to $1,500 based on their (old) congressional district. Pennsylvania should see a cumulative increase of approximately 49,000 jobs over the next 10 years due to the Tax Cuts and Jobs Act.
Heritage Foundation: In 2018, the average tax cut for Pennsylvania will be $1,169. Over a ten-year period, the average tax savings for a family of four will exceed $35,000.
Pennsylvania Public Utility Commission: The commission estimates Pennsylvanians will save up to $400 million annually in lower utility bills thanks to federal tax reform.
The case for tax reform is stronger than ever. In fact, national lawmakers are looking to build on their good work with “tax reform 2.0,” which includes making various tax cuts permanent. Lawmakers here in Pennsylvania should join in this effort by focusing on the commonwealth’s burdensome tax structure.
A streamlined federal and state tax code would dramatically improve the lives of working people and add to the encouraging trends we’ve seen over the first eight months of the year.