Personal Finance

Tax Legislation Wish Lists For 2021 Announced By Senate, House Leaders

Senate Finance Committee Incoming Chair Ron Wyden (D-OR) and his House counterpart Ways and Means Committee Chairman Richard Neal (D-MA) have announced their tax legislation wish lists for 2021 this week.

Today, Wyden said he will aim to fix the “broken tax code” and require millionaires and billionaires to pay their fair share.

The Senator said he is continuing to work on a draft of legislation he originally circulated in September to reform capital gains top 0.3 percent of taxpayers with the goal of equalizing benefits for wage and capital income and minimize the benefit of deferring taxes.

“If are a nurse in America taking care of Covid patients you don’t get to defer paying your taxes, but it you are a billionaire you can defer, defer and pretty much never pay taxes. My plan would put a stop to that,” said Wyden.

He said he will also be seeking to change the tax code to promote clean energy through the Clean Energy For America Act by consolidating 44 current energy provisions into three mission-based incentives to help bring about more environmentally friendly transportation and other energy uses.

“(I’m) working to reform energy taxes so polluters are discouraged from harming the environment,” said Wyden.

He said one of his priorities as Finance Committee Chairman will be to try to roll back corporate tax giveaways in the 2017 bill.

The principles on corporate taxes should be big corporations pay their fair share, end incentives for them to ship jobs overseas and reward companies that invest in America and its workers, asserted the Senator.

Wyden said he is also working on addressing the address problems of taxing multinational corporations.

Calling for tax legislation to help small businesses, he said in the 2017 bill they were mostly an afterthought.

He called for closing the carried interest loophole.

To help low-income families, Wyden said he wants to make the child tax credit fully refundable and expand the child and dependent care credit.

On another front, the soon-to-be Finance Committee chairman said it is important to rebuild the IRS after a decade of Republican budget cuts and attacks so it can crack down on people who refuse to pay what they owe.

On Monday, his counterpart in the House, Ways and Means Committee Chairman Richard Neal (D-MA) said tax policy can be changed to reduce inequality. He claimed the 2017 Republican Tax Cuts and Jobs Act (TCJA) exacerbated the disparities.

Neal said a tax law change he will promote to help low-income families is making a full availability of the Child Tax Credit:

“(It) would lift out of poverty one million Black; one million Latino; 850,000 White; 120,000 Asian, Native Hawaiian, and Pacific Islander; and 70,000 American Indian and Alaska Native individuals.”

The proposal was contained in legislation that passed the committee and the full House.

Neal said he would also seek to increase the Earned Income Tax Credit for childless workers and reduce the minimum age of eligibility from 25 to 19.

The Ways & Means Chairman also called for aligning education and workforce incentives to address the needs of the 21st century.

Another initiative on his agenda is an effort to enhance the refundable portion of the American Opportunity Tax Credit and maximize access for Pell Grant recipients.

Increasing the amount of employer-sponsored dependent care individuals can receive without incurring tax liability is also on his 2021 legislative wish list.

Checkout latest world news below links :
World News || Latest News || U.S. News

Help us to become independent in PANDEMIC COVID-19. Contribute to diligent Authors.

Source link

Back to top button