Press Release: New Tax Bill Set to Extend Trump Tax Cuts with Mixed State Impacts
In a recent legislative move, Congress is advancing a significant tax bill aimed at permanently extending the 2017 Tax Cuts and Jobs Act (TCJA), popularly known as the Trump tax cuts. This bill comes amid discussions about potential Medicaid and SNAP cuts, as well as modifications to clean energy incentives.
Should the bill pass, individual tax rates from 2017 would remain unchanged, averting a tax hike anticipated if the cuts expire at the end of 2025. A Congressional Budget Office analysis indicates that while the top 10% of earners may see an increase in their income, the bottom 10% could experience a 2% decrease.
In Nevada, median household income stands at $53,100; with the bill, a married couple earning this amount would maintain a 12% tax rate. Without it, their rate could rise to 15%. While wealthier Nevadans could save significantly—over $82,590 for the top 1%—lower-income residents may see a modest $130 benefit.
The proposed bill also includes extending the doubled standard deduction and preserving the child tax credit at $2,000 per child. However, critics warn that the bill could add $2.4 trillion to the national deficit, impacting future borrowing costs and possibly increasing mortgage rates.
As discussions continue, Nevadans remain divided over the implications of the tax changes.
Note: The image is for illustrative purposes only and is not the original image of the presented article.
