Small business groups praise Trump’s move to extend tax cuts in 2017. Florida Republicans defend current tax systems that give more tax deductions to working families, end tip taxes, end overtime salaries, car loan interest, and provide additional tax relief for seniors.
However, some conservative groups want to “fine-tune” the GOP proposal, claiming they are not progressing enough to cut spending and maintaining Biden-era policies.
One of them comes from the Inflation Reduction Act (IRA), which passed in 2022 and does not support a single Republican vote. Currently, some Republicans want to maintain IRA tax credits for EVs and solar panels, which are subsidized by taxpayers.
The GOP bill “reduces the availability of future grants under the Green’s new fraud,” and “we haven’t met yet. Almost half of Green’s new fraud subsidies are continuing,” TX MP Chip Roy said.
“Republicans are voting for that inflation reduction law crap, so come along and follow what’s going on here,” said former Trump economist Steve Moore.
Some conservatives also oppose increasing the amount of the Child Tax Credit (CTC), a program launched in 1997.
Republicans and Democrats support the increase. The GOP proposal will make the $2,000 tax credit permanent and will be increased to $2,500 between 2025 and 2028.
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“Child tax credits are nothing more than welfare,” says Sen. Rand Paul, a Republican of Kentucky.
The American Enterprise Institute says the GOP plan will benefit families who do not pay federal income taxes.
The conservative Kato Institute says CTC is flawed.
“It’s under-targeted, no income requirements, and regular string-fitting payments from Washington are counterproductive for the most vulnerable families,” Kato said.
But Florida lawmakers say that while the bill is not perfect, their tax system benefits small businesses and families.
“The bill expanded 529 educational savings accounts to empower American families, expand health savings accounts, expand small business deductions, renewed 100% immediate deductions, incentives for research and development in the US, as well as interest expense deductions, abolished the rules for 1099-K gig workers requiring Venmo, PayPal, PayPal and Gig transactions, and gave them a permanent presence to supplement the IRS,” said GOP Rep. Aaron Bean, Northeast Florida.
